On Friday 31 March, participants in the OECD’s Arrangement on Officially Supported Export Credits agreed to modernise its outline. The aim is to make the framework of the arrangement more flexible for green and climate-friendly projects that are eligible for longer repayment periods.
These should include projects related to sustainable energy production, CO2 capture and storage, clean hydrogen or minerals for clean energy.
The EU was at the forefront of this modernisation initiative in 2019 and has put proposals on the table at the OECD. According to the European Commission, this modernisation was necessary because “the financial terms of the Arrangement were outdated and were no longer adapted to market needs”.
This reform can enter into force later this year, but the participants to the Arrangement must first complete their decision-making process and formally agree to the text. Participating countries are Australia, Canada, Japan, South Korea, the United States, New Zealand, Norway, the United Kingdom, Switzerland, Turkey and the EU. (Original version in French by Léa Marchal)