Walz Calls for Renewal of Ex-Im Bank, a Vital Tool that Supports Minnesota’s Economy and Jobs
Bank promotes Minnesota jobs by providing businesses and workers with the certainty and opportunity they need to compete in the world market at no cost to taxpayers
If no action is taken the Ex-Im Bank, which has supported over $3 billion in Minnesota exports since 2007, will shutter on June 30
Washington, DC [6/23/15] – Today, Representative Tim Walz joined the growing chorus of Democrats, Republicans, and local business owners to, yet again, call on Speaker Boehner to reauthorize the Export-Import Bank (Ex-Im), which is a vital tool that supports Minnesota businesses and jobs. By providing loans or credit to businesses that the private sector is unwilling or unable to provide, Ex-Im works to help American businesses both large and small sell their products in the world market and create jobs right here at home. Without reauthorization, the Ex-Im Bank, which has supported over $3 billion in Minnesota Exports since 2007, will shutter on June 30.
“Southern Minnesota is working. The last thing Congress should do right now is get in the way of economic growth and take away this vital tool that is proven to help businesses and communities grow and prosper,” Representative Walz said. “With only three legislative days left to act, time is of the essence. Speaker Boehner should listen to conservative business owners, labor leaders, and the strong bipartisan coalition of Ex-Im supporters and take action renew the Bank’s charter immediately. Doing so will renew our commitment to Main Street businesses and work to keep and create good paying, middle-class jobs right here at home.”
"The Export-Import bank is incredibly important for Minnesota’s economy and jobs. It supports Davisco by giving us the certainty and stability we need to compete in the global economy, while supporting jobs and growth for US exporters of all sizes," said Wyatt Reyerson, Director of International Logistics for Davisco. "I applaud Representative Walz for his stance on reauthorization and continued support of southern Minnesota agriculture, workers and manufacturers."
With other nations aggressively supporting their businesses’ exports, it is critical that the Export-Import Bank be reauthorized in order for American businesses to remain competitive in the world market and counter aggressive foreign competition.
Below please find some facts about how Ex-Im Bank works to support our economy.
Supporting Billions in Minnesota Jobs:
- Since 2007, the Ex-Im Bank has supported $3 billion in exports for Minnesota businesses and $144 million in southern Minnesota. For more data on the bank’s economic impact in Minnesota, please click here.
Not Competing with the Private Sector:
- The Ex-Im Bank does not compete with private sector lenders. The Ex-Im Bank fills export financing gaps through its loan, guarantee, and insurance programs when the private sector is unable or unwilling to do so. At the same time, private sector lenders are Ex-Im Bank's partners. In FY 2014, 98 percent of Ex-Im Bank transactions involved commercial financial institutions.
Costs Taxpayers Nothing, Reduces the Deficit:
- The bank is self-sustaining costing U.S. taxpayers nothing while working to pay down the debt. In 2014 alone, it contributed $645 million back to the U.S. Treasury to reduce the deficit. Over the last two decades, the Ex-Im Bank has generated a surplus of more than $7 billion for U.S. taxpayers.
Success Rate over 99 percent:
- The Ex-Im Bank has been very successful with a default rate of less than 1% as of September 2014.
Supported by Republicans & Democrats, Unions and Business Groups:
- Reauthorization of the Export-Import Bank also has broad bipartisan support from both business and labor groups including the National Association of Manufacturers, the U.S. Chamber of Commerce, the AFL-CIO, and the International Association of Machinists and Aerospace Workers.