Ex-Im Bank Improves End-Use Verification Efforts, GAO Says
The U.S. Export-Import Bank has adequately implemented its revised guidance to fix weaknesses in its monitoring of dual-use exports financed by the agency, the Government Accountability Office said in an Aug. 12 report. The GAO verified that three recent transactions had been conducted properly and did not make any more recommendations for the bank.
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The audit stemmed from a 2014 GAO report that found the bank had “weaknesses” in its monitoring of dual-use transactions that it supported. The GAO recommended the bank improve its communications with buyers, better document its transactions and improve its oversight over “dual-use compliance.”
The GAO examined three sales and said the bank adequately verified the end-uses for the products involved in the transactions. The bank “received all documents” on time from the Mexican government after Mexico bought two satellites, the GAO said, and the bank “determined that Mexico … was in compliance with the bank’s dual-use policy.” The bank also ended its end-use monitoring responsibilities with Cameroon after the country made its final payment under a 2018 credit agreement for construction equipment, the GAO said. Lastly, the bank ended is monitoring responsibilities with a French company, Eutelsat, after it made its final payment on a satellite in 2017.