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	Overview of the Problems
	Highlight: Russia's Sakhalin II
	Highlight: The BTC Pipeline

What's New! Vol. 8, No. 3

March 2009 - What's New! Indices - 2005 2006 2007 2008 2009

"What's New!" is a periodic update to keep you informed of the latest on the ECA Watch website. What's New! features a wide range of materials related to the reform of Export Credit Agencies (ECAs) including NGO publications and releases, news articles, commentaries and announcements about the policies and practices of ECAs and ECA-financed projects world-wide. If you would like to receive "What's New!" simply add your e-mail to the ECA-Action list at www.eca-watch.org today! Questions? Email info-at-eca-watch.org

	1)	G20 finance plan relies heavily on new export credit agency money
	2)	ECGD asked to help assess risks of government working capital guarantee scheme
	3)	ECGD states no review to be done of due diligence on BTC pipeline risk assessment
	4)	Britons face jail in US over bribery allegations re ECA supported Bonny Island project
	5)	TI(UK) calls for exclusion of companies implicated in bribery from future ECGD contracts
	6)	Aircraft Traders Are Nervous About Economic Recovery, request more ECA support
	7)	Australian ECA EFIC announces adoption of the Equator Principles
	8)	Turkey Deports International Rivers' Staff After Peaceful Water Forum Protest
	—	View Back Issues of What's New

1.	G20 finance plan to rely heavily on new export credit agency money
	(Wall Street Journal, Washington, 11 March 2009) The USA and UK will propose a global plan to the G20 meeting in London next week to provide several hundred billion dollars in trade financing to fight a sharp contraction in global trade. About half would go for increased funding of export credit agencies (ECAs) and the other half to the World Bank, regional development banks and the IMF to help finance exports from the world's poorer nations. Trade finance, which funds about 90 percent of the $14 trillion (£9.98 trillion) in world trade, dried up last year in the credit crunch, exacerbating the downturn in exports. Meanwhile, the WTO is monitoring trade protectionism, highlighting the contradictions between corporations wanting government funds to boost their export sales and an ideological rhetoric devoted to unregulated free trade. Breaking news: Brown announces request

2.	ECGD asked to help assess risks of government working capital guarantee scheme.
	(Telegraph, London, 28 February 2009) The Department for Business has brought in experts from the Export Credit Guarantee Department (ECGD), which insures large export orders secured by British companies with overseas government customers, to assess the risk profile of bank loan portfolios to be supported by Lord Mandelson's £10bn working capital guarantee scheme.

3	ECGD states no review to be done of due diligence on BTC pipeline risk assessment
	(ECGD, London, 30 January 2009) In reply to a Freedom of Information Act enquiry by The Corner House, ECGD acknowledges it was aware, prior to its decision to support the BTC project, of NGO warnings that the BTC project might incite Russia to act to reassert its control over oil and gas exports from the Caspian and that Russia might seek to impose control on Georgia by force. ECGD stated that it has no plans to assess its due diligence procedures in relation to conflict risks in the light of recent events in the South Caucasus.


4	Britons face jail in US over bribery allegations re ECA supported Bonny Island project
4	(Financial Times, London, 6 March 2009) Two British men face up to 55 years in a US prison for alleged participation in a Nigerian bribery scheme in one of the most dramatic signs yet of the long arm of US anti-corruption laws. They allegedly funnelled tens of millions of dollars to Nigerian government officials to win contracts for an international consortium on a $6bn (£4.2bn) liquid gas production plant known as Bonny Island, which received support from several ECAs - the UK's ECGD, the US Ex-Im Bank, SACE of Italy and Atradius of the Netherlands.

5	TI(UK) calls for companies implicated in bribery to be excluded from future ECGD contracts
5	(Transparency International, London, 2 March 2009) Transparency International (UK) has pointed out that a review of the ECGD’s anti-bribery provisions is due this year, and in the light of this case, it is imperative for the Government to commission an independent review into best practice, and for the ECGD to implement its findings. In particular, Transparency International (UK) favours debarment. The call comes in a letter to UK Economic and Business Minister, Ian Pearson, following a $579m fine for bribery agreed this month in the US courts by oil and engineering firm Halliburton.

6.	Aircraft Traders Are Nervous About Economic Recovery - request more ECA support
6.	(Aviation Week, Scottsdale, Arizona, 20 March 2009) If members of the International Society of Transport Aircraft Traders (Istat) meeting here last week are any indication, no carrier is safe, manufacturers are over-producing and the credit crunch will be crippling unless government-backed export credit agencies are prepared to make more direct loans than they have traditionally. Leading players in the world of aviation financing say there is a multibillion-dollar "funding gap" between all the Boeing and Airbus jets due for delivery this year and the money to pay for them.


7.	Australian ECA EFIC announces adoption of the Equator Principles
7.	(EFIC, Sydney, 3 March 2009) The Export Finance and Insurance Corporation announced that it adopted the Equator Principles on 3 March 2009. EFIC joins financial institutions from 25 countries including two export credit agencies (as at November 2008), in adopting the Principles.

8.	Turkey Deports International Rivers' Staff After Peaceful Water Forum Protest
8.	(IRN, Berkeley, 17 March 2009) Payal Parekh and Ann-Kathrin Schneider, two staff members of International Rivers, unfurled a banner at the opening ceremony of the World Water Forum in Istanbul yesterday. The banner said, "No More Risky Dams". The action was totally peaceful, and many people in the audience applauded. IRN has been active in opposition to the Ilisu dam in Turkey which German, Austrian and Swiss ECAs have recently threatened to withdraw financing for.