Export credit guarantee is a scheme provided to safeguard export financing banks against losses resulting from the export transaction they finance. The scheme is a vehicle to facilitate exporters’ access to bank credit and enables local exporters not to lose an export market due to inability to get bank credit. It enables national exporters to compete on equal footing with other exporters in increasingly competitive foreign markets.

Previously, the National Bank of Ethiopia had been handling the scheme until it is transferred to Development Bank of Ethiopia from February 1, 2007 onwards. During the start of operation at DBE, the Branch operation and project management department was responsible for handling the operations of the scheme. Later on, as of August 2008, Export Credit Guarantee and Special Fund Administration Bureau (ECGSF) start to undertake the responsibility.