Finance

Ex-Im bank reports turning $675M profit

The Export-Import Bank turned a $675 million profit for taxpayers in fiscal 2014, officials at the bank said Thursday.

Ex-Im Bank chairman Fred Hochberg said the surplus is as another illustration of how the bank helps the economy.

“American businesses produce some of the highest quality, most innovative goods and services in the world — that we are able to support them while also helping to reduce the deficit is a bonus for taxpayers,” Hochberg said in a statement.

The bank, which was reauthorized in September over the opposition of conservatives, reported a much larger profit in the last fiscal year of $1.057 billion. An Ex-Im spokesman said the bank’s revenue declined because the private market has begun to enter into some of the deals that the bank has traditionally financed.

Ex-Im’s future remains uncertain, with its charter set to expire on June 30.

Conservative lawmakers, led by House Financial Services Committee Chairman Jeb Hensarling (R-Texas), say that the bank is “corporate welfare” and “cronyism” that should be ended.

Centrist Republicans, Democrats and the business community argue that the bank helps to sustain U.S. jobs, while financing American projects in emerging markets.

“Ex-Im claiming it makes money is like President Obama claiming the economy is doing great — neither is true,” said a spokesman for Hensarling’s Financial Services Committee.

The spokesman said that if Ex-Im officials had to use the same accounting method as most other banks in America, it would show a loss for taxpayers.

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