The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) and the Russian Agency for Export Credit and Investment Insurance (Exiar) have signed a reciprocal reinsurance agreement to boost business opportunities between Russia and ICIEC member countries.
Under the agreement, the two organisations will share expertise, capabilities and staff to improve and support transactions. Rather unusually for this type of deal, the reinsurance aspect is reciprocal, meaning that both ICIEC and Exiar can act as main insurers with the other institution’s reinsurance backing.
This provision was created to promote Russian investments into ICIEC’s member countries, as well as potential projects between and among these countries, with Russian participation, in third markets.
Hanieh Ferdowsi, managing director, business development at Exiar, explains to GTR: “This was something we see as very important for business development because we are seeing Russian companies setting up production plants for instance in Egypt and exporting from there into neighbouring countries: in that case ICIEC would issue its coverage and Exiar would provide them with reinsurance because even though it’s a production plant in Egypt we still see that as Russian interest and content in some way. So we would do that to strengthen the presence of Russian companies setting up business in ICIEC member countries.”
The agreement was signed by Oussama Kaissi, CEO of ICIEC, and Alexey Tyupanov, CEO of Exiar (pic, left to right) on the sidelines of Berne Union/Prague Club annual general meetings from November 2 to 6 in Shanghai.