Parliament Approves $200mln Capital Increase for Export Guarantee Fund of Iran

(FarsNews, Tehran, 6 July 2013) The Iranian Parliament has allocated $200 million in the Budget Law of the fiscal year 2013-2014 as a capital increase for the Export Guarantee Fund of Iran, EGFI Chairman and CEO Taher Shah Hamed said. This capital increase could be considered as a compensation for the substantial amount of claims paid by the EGFI during the last two years in order to indemnify Iranian exporters and outward investors for losses incurred. With this capital increase, EGFI will have a better capital adequacy ratio, which in turn will boost its ability for protecting its clients, through issuing guarantees and insurance policies. EGFI, established in 1973, as the first-established Export Credit Agency (ECA) in Middle East and North Africa (MENA) region, is the official Export Credit Agency of Iran, 100% government-owned and affiliated with the Ministry of Industry, Mine, and Trade.