Risk-oriented export financing mechanism as an instrument for de-shadowing the economy and ensuring the economic security of business entities

Abstract

The article substantiates a risk-oriented export financing mechanism aimed at supporting economically viable exports, reducing information asymmetry, decreasing the economic attractiveness of non-transparent business practices, and strengthening the economic security of business entities. It has been determined that export financing covers not only lending but also insurance, guarantees, factoring, forfeiting, documentary forms of settlement, and other instruments that affect a company's liquidity, the stability of its cash flows, and its ability to distribute risks. The article aims to substantiate a risk-oriented export financing mechanism that combines the identification of risks associated with an export transaction, the development of its risk profile, and the differentiation of financing instruments and terms based on the transaction’s level of information opacity, to reduce the risk of shadowing in foreign economic activity and strengthen the economic security of business entities. Methodology: A combination of general and specific research methods was applied at the empirical and theoretical levels, including logical generalization to reveal the theoretical foundations of the risk-oriented mechanism of export financing as a tool for reducing the shadow economy and ensuring the economic security of business entities; induction to identify the criteria for developing the risk profile of an export transaction; the structural-logical method to establish the sequence of stages within the risk-oriented mechanism of export financing; the matrix method to differentiate export financing conditions according to the level of risk; synthesis to identify the functional blocks of the risk-oriented mechanism of export financing; and systematization and grouping to organize the findings, draw conclusions, and formulate scientific recommendations. Results: A risk-oriented export financing mechanism has been developed, structured around two interrelated frameworks - public and financial-corporate - and four functional blocks: information and analytical, distributive, incentive, and outcome-oriented. Practical significance: The practical application of the mechanism may contribute to a more targeted use of public support instruments for economically justified exports and to the integration of export transaction assessment into the enterprise’s economic security system. Uniqueness/value: The approaches to developing a risk-oriented export financing mechanism have been improved. The mechanism facilitates the formalization and transparency of export financing processes and enhances the economic security of business entities.

JEL Classification: D21, H26, M20.