The Ship Guarantee is intended as security for credits granted to Finnish companies engaged in shipping or shipbuilding.
Companies engaged in shipping can apply for a Ship Guarantee for purchasing a vessel or a hull that is least 10 meters long and at most 10 years old and that will be used for merchant shipping. The guarantee may also be used to finance the conversion, repair and refurbishment.
Ship Guarantees are intended for projects that can be deemed commercially viable. When a decision on the guarantee is made special attention is paid to the applicant's economic performance and to the importance of the project for the applicant's prospects for business. The Ship Guarantee is granted as for own debt on behalf of the shipping company or shipyard. It can be granted to cover both domestic and foreign credits.
Companies engaged in shipbuilding can apply for the guarantee as security for a loan taken for financing the construction of the vessel ordered by a Finnish shipping company. Finnish shipyards can also apply for export credit guarantees for the financial and security arrangements pertaining to the export project.
Terms and conditions of the Ship Guarantee
When a decision on the guarantee is made, special attention is paid to the applicant´s economic performance and to the importance of the project for the applicant´s prospects for business. Finnvera conducts a corporate analysis and a risk assessment of the applicant company and the project concerned.
Counter security approved by Finnvera must be provided for the guarantee. The guaranteed credit sum, the credit period and the guarantee terms are determined separately for each project.