Posted 5 years ago on April 4, 2012, 12:39 p.m. EST by HitGirl
This content is user submitted and not an official statement
The US Export-Import bank has financed transactions since the Great Depression. It is necessary to maintain exports by lending (at low interest) to American businesses that finance purchases from over-seas buyers. The problem is the charter is set to expire in May and the Tea Party Republicans refuse to renew it! Why? Because of their misguided free-market religion. The bank is a win-win all around. Even makes money for the US government.
The following excerpts are from the New York Times article...
"There is not a bank in the United States that is going to lend money to that customer of mine in Argentina to buy my airplane," said David Ikert, vice president of finance at Air Tractor..."There is not a free-market system that operates like that. It does not exist. We need the EX-Im Bank, period."
Drew Greenblatt, president and owner of Marlin Steel Wire Products, in Baltimore, said he recently got a rush order of wire from Singapore, assuming he could finance the sale. He went to the Export-Import Bank and paid a one-half percent fee on the loan. The bank gauranteed 95% of the loan. He kept the plant working through the weekend and completed the sale.
"Think about all the winners in this transaction, he said. "Ex-Im got half a point, Baltimore City steelworkers got extra hours. I got extra profits to meet payroll, and hopefully I got a client who will reorder from me."
Senator Lindsey Graham, Republican of South Carolina, has pressed to reauthorize the Export-Import Bank, but at the insistence of Senator Mitch McConnel of Kentucky, the Republican leader, he joined his party in opposing Democratic efforts to add reauthorization to a small business finance bill.
So, is the Tea Party destroying America? Don't take it from me, conservatives, listen to what Lindsey Graham has to say...
"Come June, if this program dies, it will be the end of job creation for thousands of businesses for no good reason," he said. "And it will happen on our watch with our fingerprints on it."