EDC IN INDIA ITAC September 25, 2014 ABOUT EDC › › › › 2 Canada’s Export Credit Agency Crown Corporation › Wholly owned by Government of Canada Financially self-sustaining › We are not dependent on tax dollars to cover our costs Operate on commercial principles › Exporters pay premiums and fees › All of our loans are repayable with interest EDC’S ROLE › › 3 To support and develop Canada’s export trade and international business efforts Financing and Insurance solutions for Canadian exporters and investors 2013 PERFORMANCE HIGHLIGHTS › › › › › › 4 Facilitated $95.4 Billion in business carried out by Canadian companies Served about 7,100 customers Supported business in 198 countries Facilitated $27.3 Billion in emerging markets Contributed to 4% of GDP, supporting 568,799 jobs Net income for 2013 was $817 Million EDC’S PRESENCE OUTSIDE CANADA 5 EDC 2014 BUSINESS STRATEGY › › 6 Trade Creation : Promoting Canada’s capabilities internationally Trade Facilitation : Providing financial and risk mitigation solutions CREATING TRADE OPPORTUNITIES Partners More business opportunities for Canadians Financing & Investment Customers 7 STRATEGIC VALUE CHAIN RELATIONSHIPS EXAMPLES OPERATORS Solution: Based on Canadian procurement, participated in corporate financing VENDORS Solution: Based on Canadian footprint, vendor financing is being provided 8 CANADIAN WIRELESS INDUSTRY VALUE CHAIN Infrastru cture Hardware Software Services Network Infrastruct Comp + Subsystems Equipment Devices Enablers + Middleware Apps + Value Add Services Content Aggregators + Delivery Service Providers Professional Services Design Amplifiers Enterprise Datacentres Internet Access Consulting Antennas GPS Security Anti-virus+ SPAM Business Consumer Converge Gaming mComm Messaging Security Social Networking Video Service Advertising Geomatics Access Backhaul Datacentres IP Video Network Gateways Network Mgt Rugged V-mail + IVR Voice switching WiFi WIMAX Planning Filters Power Sys GPS Shelters Radios Towers Semiconduct ors 30+ companies 9 50+ companies 50+ companies Handsets Modems Telematics 35+ companies 15+ companies 50+ companies Content Adaptation Content Distribution Satellite Customer Care SMS/MMS Retail/POS Telematics Software Dev Marketing VoIP 5+ companies 30+ companies 5+ companies EDC 2014 BUSINESS STRATEGY › › 10 Trade Creation : Promoting Canada’s capabilities internationally Trade Facilitation : Providing financial and risk mitigation solutions EDC’S FINANCIAL SOLUTIONS › Accounts Receivable Insurance › › › › Protection against the non-payment by buyers due to commercial or political reasons Bonding Services › Wide variety of instruments to support bid bonds, performance bonds and warranty bonds Financing › Based on corporate risk, sovereign risk & project risk › Pre-export financing for exporters Canadian Direct Investment Abroad Support › Support across our various programs to help the Canadian investor, the Canadian affiliate in India and the Canadian affiliate’s Indian buyers › How do we do it? 11 › Due to a strong financial position, EDC is committed and has the capacity for supporting growth of Canadian companies abroad › › Effective risk management policies Healthy risk appetite INDIA & EDC › › › India is one of the 5 key emerging markets EDC is focused on along with China, Brazil, Mexico and Russia Underlining our commitment to India, EDC established its very first overseas representation in New Delhi in 2005 › EDC has since added representation in Mumbai India has been in EDC’s $1B Dollar Market Club since 2007 › EDC in India in 2013 - Facilitated about $1.9B of business; 299 Canadian exporters supported 12 EDC BUSINESS FACILITATED IN INDIA INDIA BUSINESS VOLUMES BY PRODUCT 13 2013 CUSTOMERS SERVED BY SECTOR EDC’S STRATEGIC FOREIGN BUYER RELATIONSHIPS IN INDIA New Delhi Mumbai 14 KEY EDC STRATEGIES IN INDIA › Promote CDIA with Canadian institutional investors & increase CDIA transactions › Increase opportunities for Canada through engagement with key strategic relationships in India › Leverage existing financial partnerships & facilitate matchmaking opportunities › Sectors of opportunity identified by EDC in India for 2014: 15 › Automotive & Auto Components › Telecom › Infrastructure & CleanTech › Healthcare › Oil & Gas › Agriculture & Agri Products EDC ON-THE-GROUND REPRESENATION IN INDIA › Promote partnership approach › With fellow Canadian government colleagues and with other financial institutions › Develop local solutions for Canadian firms with a presence in India › Brief exporters on the ground regarding perceived risks and how to mitigate them › Offer on the ground market intelligence › Position EDC as a strategic partner with key Indian companies 16 WHEN EDC CAN HELP › › 17 Trade Creation › Events & Matchmaking activities › In Market Visits Trade Facilitation › Credit Insurance › Working Capital EDC INDIA – CONTACT US John Miller Lead, India Initiative jmiller@edc.ca Dave Horvath Senior Technical Advisor, India Initiative dhorvath@edc.ca Nathan Nelson Chief Representative India nnelson@edc.ca Cedric Irambona Sector Advisor ICT cirambona@edc.ca Jennifer Greenberg Senior Associate Strategic Sectors jgreenberg@edc.ca www.edc.ca 18