A bill that would renew the Export-Import Bank’s charter for seven years, increase its lending cap by $20 billion, and modernize its programs has received overwhelming support from both sides of the aisle. Just a day after its introduction, the “Promoting U.S. Jobs through Exports Act of 2015” (H.R. 1031) received the endorsement of 160 Democratic members of the House, in addition to the 58 Republicans who have supported similar legislation (H.R. 597) introduced by Rep. Stephen Fincher (R-Tenn). Support to renew the Bank’s charter has reached more than a majority of the House, according to a Democratic Financial Services Committee press release.
Introduced by Rep. Maxine Waters (D-Calif), Ranking Member of the Financial Services Committee, Rep. Gwen Moore (D-Wis), Ranking Member of the Subcommittee on Monetary Policy and Trade, Rep. Denny Heck (D-Wash), and Democratic Whip Steny Hoyer (D-Md), the bill would extend the bank’s charter until the end of fiscal year 2022 and increase its lending cap by $20 billion over that period, contingent on the bank’s default rate remaining below 2 percent.
The bill also includes a number of reforms intended to strengthen the bank. The measure establishes a permanent Chief Risk Officer, accountable to the bank’s board and responsible for all matters relating to managing and mitigating the bank’s risk. The measure also directs the administration to take steps to bring all nations into the Organisation for Economic Co-operation and Development framework for export credit assistance and seek World Trade Organization remedies for countries that violate international trade agreements.
“The outpouring of support for this important legislation to renew the Export-Import Bank’s charter is remarkable,” said Waters. “This momentum sends a strong message to America’s manufacturers, businesses and workers that Democrats are united in preserving an institution that for decades has helped this nation create jobs and grow the economy.”
The Bank’s charter is set to expire in June.
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