The U.S. Export-Import Bank has contributed positively to economic growth and its current expired state could “damage the U.S. economy,” Democratic staff for the Joint Economic Committee said yesterday in a new report. The report found that Ex-Im — whose charter expired on June 30 — annually produces $5.1 billion in benefits for small businesses, provides $15.3 billion in loan guarantees and supports $27.5 billion in exports.
“As the economy continues to recover from the Great Recession and with exporters already facing headwinds in the form of a strong dollar and weak global growth, not reauthorizing Ex-Im’s charter risks dealing a blow to the U.S. economy,” the report said.
The report also highlighted the “fiscally responsible manner” in which Ex-Im has operated, having returned nearly $7 billion to the Treasury since 1992 and $675 million in 2014 alone. “As of March 2015, Ex-Im’s active default rate was less than two-tenths of one percent,” the report added.
June 30 marked the first time the bank’s charter has expired in its 81-year history. ABA and its global finance subsidiary BAFT are strongly advocating for the charter to be reauthorized.