Arrangement on Guidelines for Officially Supported Export Credits (redirected from OECD Consensus)

Arrangement on Guidelines for Officially Supported Export Credits

An international agreement providing a framework for the provision of export credit guarantees. An export credit guarantee ensures that an exporter receives payment for goods shipped overseas in the event that the customer defaults, reducing the risk to the exporter's business and allowing it to keep its prices competitive. The guarantee is usually provided by a government or quasi-government agency.

The Arrangement is intended to prevent a situation in which different countries use their export credit guarantees to attract business to the detriment of other countries. In other words, the Arrangement seeks to ensure that exports are sold on the basis of their quality rather than because an export credit guarantee offers unfairly favorable terms. The Arrangement is not binding in itself, but has been adopted by most OECD countries.