EXIAR insures GAZ automobile shipments to Uzbekistan
The Russian Agency for Export Credit and Investment Insurance (EXIAR) and Novikombank have concluded two insurance policies for confirmed letters of credit in order to finance the shipment of GAZ vehicles to the Republic of Uzbekistan.
As part of the policies, EXIAR has insured confirmed letters of credit issued by Invest Finance Bank to the GAZ Group at the request of Uzbek importers. Novikombank stepped forward as the confirming bank and financing institution.
Under the conditions of the deal, EXIAR insured loans made to Air Business Consulting, LLC, and STAYD, LLC, in order to pay for the GAZ Group’s shipment of automobiles. EXIAR will cover the confirming bank in case of non-payment of the indemnification by the issuing bank.
EXIAR’s Confirmed Letter of Credit Insurance product is designed to protect Russian banks that confirm letters of credit against the risk of nonpayment by the bank issuing the letter of credit due to commercial or political reasons.
The Russian Agency for Export Credit and Investment Insurance (EXIAR) was established in 2011 as an open joint-stock company. EXIAR's mission is to support Russian high-tech exports by insuring export credits against commercial and political risks, as well as Russian investments abroad against political risks. Vnesheconombank is the sole shareholder of EXIAR. The agency's charter capital is RUB 31 billion. The State Specialized Russian Export-Import Bank (Eximbank of Russia) is a subsidiary of the Russian Agency for Export Credit and Investment Insurance (EXIAR).
State Corporate Rostec is a Russian company that was created in 2007 to promote the development, production, and export of hi-tech industrial products for civil and military purposes. It is comprised of more than 700 organizations. Among these organizations, 9 holding companies have been formed in the military-industrial complex; 5 in the civil industrial sector; and, 22 directly manage themselves. Rostec’s portfolio includes such famous brands as AvtoVAZ, Kamaz, Vertolety Rossii (Russian Helicopters), VSMPO-AVISMA, and more. Rostec organizations are located in 60 regions of Russia and deliver products to more than 70 countries. Rostec’s earnings for 2014 totaled 964.5 trillion rubles. The company’s tax contributions to federal, regional, and local budgets exceeded 138 billion rubles.
Novikombank was established in 1993. It is now a stable and rapidly-developing financial institution that offers its clients a comprehensive range of services. Novikombank is the primary bank of Rostec, and focuses on financing Russian industrial companies, including those in hi-tech industries, aviation, and the automobile industry. As of July 1, 2015, the bank’s capital consisted of more than 39 billion rubles, with assets amounting to more than 253 billion rubles. Novikombank is one of Russia’s 35 largest banks, a supporting bank of the CIS and Eurasian Customs Union, and is successfully developing its “A Bank for Banks” program.
Invest Finance Bank was founded in 2007. Today, the bank is one of Uzbekistan’s leading, fast-developing banks that offers a full range of banking services to its clients. The bank’s primary activity centers on financing small businesses and private entrepreneurs. As of January 1, 2015, the bank’s capital totaled $29 million, with assets worth $222 million.
EXIAR External Communications