The agency will offer two insurance products

The Export Credit Agency of Ukraine (ECA) is starting to accept applications for investment insurance against military and political risks, the Ministry of Economy reports.

The agency will offer two insurance products: direct investment insurance for investors and investment loan insurance for banks.

According to First Deputy Prime Minister and Minister of Economy Yulia Svyrydenko, a developed infrastructure of insurance against war risks can be an additional incentive for investors to enter the Ukrainian market and develop their export-oriented enterprises here.

In her column for Forbes, Svyrydenko explained that previously, war risk insurance was available only from international organizations. The World Bank’s International Investment Guarantee Agency (MIGA) insured foreign companies willing to invest in Ukraine, the U.S. Corporation for International Development (DFC) and the Polish agency KUKE provided guarantees to foreign and Ukrainian companies.

“Now ECA joins the organizations ready to insure investments in Ukraine and in Ukraine. As a result, Ukrainian companies will receive additional guarantees of financial security, and the economy will increase business activity. Insurance will help to create the facilities and infrastructure necessary for the development of the processing industry and export of goods made in Ukraine,” she said.

According to the First Deputy Prime Minister, since the full-scale invasion, 97 Ukrainian exporters have raised funds to fulfill export agreements under ECA insurance coverage totaling UAH 1.48 billion. In total, the volume of supported exports amounted to UAH 12.86 billion, and one hryvnia of the agency’s insurance liability generates UAH 9.40 of potential export revenue for the state.

The Unity affordable ship insurance program, implemented by Marsh McLennan and Lloyd’s of London in cooperation with the Ukrainian government, has been expanded to cover all non-military cargo.