Rada approves creation of export-credit agency
Ukraine's Verkhovna Rada has backed a bill creating the export-credit agency in Ukraine.
An Interfax-Ukraine correspondent has reported that bill No. 2142a providing for the aggressive exports expansion of Ukrainian manufacturers via insuring, guaranteeing and cheapening of exports crediting was passed at second reading late on Tuesday, December 21, by 237 lawmakers.
According to the document, Ukraine's Cabinet of Ministers creates the export-credit agency to stimulate exports of Ukrainian goods, labor and services. The agency will insure, reinsure exports on a voluntary basis and will secure contracts aimed at developing exports. The agency will participate in the implementation of the program to partially compensate the rates for exports credits.
The export-credit agency will support exports of Ukrainian labor and services and goods made by processing industry under some foreign activity codes.
The bill describes the procedure for creating the agency, its structure, goals and key tasks. The agency will protect Ukrainian exporters from a risk of payment failures and financial losses related to the implementation of foreign economic contracts using insurance, reinsurance and guarantee tools.
The agency is created in the form of a public joint-stock company. The state in the person of the government is the founder and a shareholder in the agency with at least 50% plus one share of the share capital.