Business news from Ukraine

EXPORT-INSURANCE AGENCY COULD BE CREATED NEXT YEAR – OFFICIAL

27 April , 2016  

KYIV. April 27 (Interfax-Ukraine) – An export-insurance agency could be created in 2017 if the financing of the project were included in the draft national budget, Deputy Minister of Economic Development and Trade and Trade Representative of Ukraine Natalia Mykolska has said.

“If the funds are foreseen in the next year’s budget, the export-insurance agency could be created next year,” she told reporters after a roundtable devoted to development of the exports strategy.

She said that from the moment of creation of the export-insurance agency until the provision of first service from six to nine months will pass.

Mykolska said that the state does not have funds to create the full-featured export-credit agency. Additionally, Ukraine is to observe the requirement of the International Monetary Fund (IMF) to cut public expenses. She assumed that initially the agency would provide insurance, underwriting and reinsurance services.

She said that if there were funds the export-insurance agency could be turned into an export-credit agency. She said that UAH 250-300 million is required for this and the sum could be injected in two tranches during two years.

She said that the full-featured export-credit agency could be created when the macroeconomic situation is stabilized in Ukraine and the country ends cooperation with the IMF.