Domestic ship guarantee

Through the ship guarantee scheme for financing ships from yards in Norway to be used in Norway, GIEK mitigates risk for banks and other financial institutions. The ship guarantee secures repayment of the loan from the buyer.

GIEK can offer guarantees for loans financing ships, including equipment and services for such, when the vessels are built, or partly built, at yards in Norway and will be used in Norway. GIEK can also participate in the financing of larger reconstructions. 

Who can apply?

Buyer, buyer’s bank, or the shipyard can apply for guarantee. 


  • Minimum cash down payment of 20 percent.
  • Maximum 80 percent of the value of the contract financed by loan.
  • GIEK’s guarantee covers up to 75 percent of the loan amount.
  • If other Norwegian public institutions participate in the financing, the total public risk coverage cannot exceed 75 percent of the total loan amount.
  • Maximum term for GIEK’s guarantee is 12 years with linear repayment schedule. 

The scheme for the financing of ships to be used in Norway, is based on the same terms as GIEK’s terms for other ship financings. A typical ship financing deal with GIEK’s participation is based on 30–40 per cent equity and a GIEK guarantee for 70 per cent of the loan, secured against 1st priority mortgage.

Final terms are based on the assessed credit risk in each transaction, in which GIEK emphasises debt service, securities, buyer’s business model and general financial position.

GIEK requires that a commercial bank or other financial institution participates in the transaction, and that risk is shared on equal terms with GIEK (pari passu terms). 

In addition, the contract must be in accordance with:

Read more on the application process.


How does the guarantee work?


How much does it cost?

GIEK charges a guarantee premium when issuing a guarantee.

The premium is determined based on the repayment period and influenced by:

  • Buyer’s creditworthiness: GIEK assesses the client’s creditworthiness i.e. the probability of repayment by the customer.
  • Political conditions in the buyer’s country: GIEK assesses the risk of political unrest arising in a foreign buyer’s country.
  • Syndicate bank’s share in the financing.

GIEK also charges an upfront fee and a commitment fee. Other applicable costs may incur. The premium is calculated as a one-off premium, but an annual premium is possible. 

Hvordan søke?

Please fill in the application for Domestic ship guarantee (currently only available in Norwegian).

Do you want to be prepared before you begin the application process?
We have collected all the questions you will get during the application process:

Domestic ship guarantee (coming soon)