‘ECGC is the only firm which has not changed premium in last 10 years’
After the 2008 global crisis, banks are coming to ECGC for export credit cover. Did they burn fingers?
Offering insurance cover for banks export credit is something unique. Other countries are not doing this. For example, after 2002-03, SBI said it didn’t want to go for cover and kept away for 5-6 years. Now they are offering the entire export credit for insurance cover. The corporation presently covers roughly 70 per cent of total short term export finance disbursed by banks in India.
Has the euro zone crisis affected you? Have you put any curbs?
Euro zone has affected exports. As far as we are concerned, we are open to all the countries. We have classified country risk in seven categories. But we have not changed the pricing. We have not increased the rate for Euro zone. We go on reviewing the country risk every year. We also have a category called restricted cover countries. Countries which are under UN sanctions come under this category.
Have you increased the pricing in the wake of the global slowdown? Have claims come down this year?
We have not changed our premium in the last ten years. In fact, we are the only institution
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