Institution details

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SACE (SACE)

Key facts

  • Established in 1977
  • Ownership: Public
Part of the OECD Part of the Berne Union

Latest update: 03/12/2021

Products

  • Supplier credit policy
  • Credit insurance products
  • Surety bonds
  • Internationalization
  • Buyer credit policy
  • Other products

Supplier credit policy

  • Covers commercial and political risk of an international buyer defaulting on payment for export contract; 24/7 online quotes
  • Applies to extended payment terms of over 24 months in the OECD area, and without limits for the rest of the world
  • Maximum insured amount:
    - EUR 5 million if the counterparty is a bank
    - EUR 2.5 million if the counterparty is a foreign company
  • Credit terms of:
    - Up to 5 years for bank counterparties
    - Inquire for foreign buyers
  • Eligibility: Pre-approved Italian exporters, typically research and design projects outside of Italy; country limits apply
  • Fees:
    - Free to apply
    - Exposure fee on insurance 

Credit insurance products

  • Used by Italian suppliers in support of exports to mitigate commercial and political risks
  • Sub-products:
    - Civil works policy to insure against termination or non-payment of contract  
    - BT Facile PMI: For SMEs with sales of up to EUR 5 million; insures all accounts receivable for non-payment in Italy and overseas
    - BT 360°: Insures all accounts receivable for non-payment in Italy and overseas for extended payment up to 12 months
    - BT export development policy: Insures Italian business against non-payment risk for foreign trade receivables with deferred payment of up to 12 months for selected receivables
    - Trade finance: Insures foreign receivables and transforms them into liquidity by discounting without recourse
    - Confirmation of L/C: Insures the bank confirming the bank issued for the Italian exporters against risk of failure; policy available for up to EUR 5 million and a term of 5 years
    - Construction risk: Various policies to protect against construction performance risk

Surety bonds

  • Guarantees to Italian bidders participating in tenders and foreign contracts
  • Sub-products:
    - Guarantees for tenders and contracts
    - Guarantees for customs duties
    - Guarantees for tax refunds
    - “Sviluppo export” fund

Internationalization 

  • Programs to advance Italian investment abroad
    - “Push strategy” program: SACE provides credit in high-potential markets at competitive rates with the aim of favoring the acquisition of Italian goods and services or strengthening existing commercial relationships
    - “2i per l’Impresa”: Provides financing for Italian businesses with turnover of no more than EUR 250 million and up to 499 employees; medium- and long-term loans from 6 pre-approved banks with quick, simplified approval procedures; loan amount up to EUR 1 billion
    - Working capital financial guarantee: Supports liquidity requirements for Italian exporters; SACE guarantee for benefit of the working capital lender
    - Investments policy: Protects the capital for investments by Italian company in countries of high political risk; covers partial or total loss of capital invested, assets, and covers amounts due such as dividends, profits, and revenues that are unpaid due to political risks
    - Financial guarantee of investments: Guarantee for the financing in support of investments abroad (or in Italy) if such investment is deemed to be of strategic importance to the country; proceeds can be used for joint ventures, mergers and acquisitions, construction of production facilities in Italy including project finance based for strategic projects in the renewable energy, infrastructure, and research and development sectors; requires KYC compliance
    - Guarantee for the internationalization of SMEs: Guarantees bank funding to SMEs for design activities directly or indirectly related to internationalization
    - SACE also provides advisory services to assist Italian companies with internationalization
  • SACE insures the lending bank
  • Fees:
    - Exposure fee: Risk premium payment timing is flexible (upfront, ongoing, or at end of disbursement period)

Buyer credit policy 

  • Provides financing for:
    - Buyers of Italian exports
    - Investment projects such as project financings
  • SACE insures the lending bank
  • Fees:
    - Exposure fee: Risk premium payment timing is flexible (upfront, ongoing, or at end of disbursement period)
    - Application fee: Ranges from EUR 100 to EUR 6,000 depending on size of loan amount less premium or interest during construction when the premium or interest amounts are financed

Other products

  • Credit opinion for overseas counterparties
  • Foreign debt recovery assistance
  • Construction risk policies to support work activities
  • Factoring for buyers in the private or public sectors both in Italy and foreign markets
    - Factoring without recourse
    - Factoring with recourse
    - Maturity factoring
    - Reverse factoring

Performance highlights

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