NBU not supporting creation of export-credit agency

The National Bank of Ukraine (NBU) does not support the creation of the export-credit agency, NBU Governor Valeriya Gontareva has said.

"You know that the National Bank did not support the creation of this agency, as we have capitalized state-run export-import bank [Ukreximbank], which can provide all support and guarantees to our exporters and work with our importers," she said at a press conference in Kyiv on Thursday.

She said that the memorandum of cooperation between Ukraine and the International Monetary Fund (IMF) does not give direct instructions on the issue.

"As far as I know the memorandum would have brief information about it: if the agency does not have capital and there were no sources to finance it, there is a recommendation not to start active work until it is decided how it will work," she said.

As reported, Ukrainian President Petro Poroshenko on December 28, 2016 enacted bill providing for the aggressive exports expansion of Ukrainian manufacturers via insuring, guaranteeing and cheapening of exports crediting No. 2142a and envisaging the creation of the export-credit agency.

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.