Finance
BA secures extra $1.4 billion loan from UK Export Finance
Published by maria gbaf
Posted on November 2, 2021
1 min readLast updated: January 28, 2026
Global Banking and Finance Review
Company
Published by maria gbaf
Posted on November 2, 2021
1 min readLast updated: January 28, 2026
British Airways secures a $1.4 billion loan from UK Export Finance, boosting IAG's resources. BA may not use the facility immediately.
LONDON (Reuters) – British Airways boosted its financial firepower by agreeing an extra 1 billion pounds ($1.37 billion) in UK Export Finance, adding to the resources available to its parent company IAG.
IAG said on Monday that BA would not necessarily need to use the facility. Most airlines across the world have had to take on huge new loans to help them survive during the pandemic, but travel is now recovering.
“British Airways intends to draw down only if and when required and the facility will not be utilised upon signing,” IAG said in a statement.
The new 1 billion pound UK Export Finance guaranteed 5-year credit facility is in addition to the 2 billion pounds BA was granted in December 2020 and drew down in March 2021.
IAG said it has total liquidity of 10.6 billion euros, not including the new facility and it would update investors on Friday when it presents third quarter results.
($1 = 0.7321 pounds)
(Reporting by Sarah Young; Editing by Alistair Smout)
The main topic is British Airways securing a $1.4 billion loan from UK Export Finance to enhance its financial resources.
The loan is significant as it boosts IAG's liquidity and supports British Airways during the recovery from the pandemic.
British Airways intends to draw down the loan only if and when required, and it will not be utilized upon signing.
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