UK Government gives export support scheme green light despite corruption concerns

(The Telegraph, London, 10 August 2009) The Government is to push ahead with a new insurance scheme to help exporters trade with developing countries, despite concerns from environmental and anti-bribery groups that it could support corruption. NGOs note that the ECGD's proposed Letter of Credit Guarantee Scheme (LCGS) would exempt short-term credits from the OECD Common Approaches and Principles on Sustainable Lending Practices and would weaken montioring of corrupt practices. The British Exporters Association however welcomes these changes, stating "that the burden of red tape associated with ECGD’s normal application process is excessive and, BExA believes, acts as a disincentive to exporters from using ECGD’s services.