Polish President Andrzej Duda signed an amendment to the law on export insurance guaranteed by the State Treasury.
This decision, among other things, allows the Polish state-owned KUKE Export Credit Insurance Corporation to provide more effective assistance to private businesses interested in rebuilding Ukraine.
"This is the first such comprehensive insurance instrument that supports investment and operations of Polish companies in Ukraine. We hope that this important step by Poland will be an impetus for the insurance market and other countries to more actively provide guarantees to companies operating in Ukraine. As a result, this will help attract more investments and new players to enter the Ukrainian private sector," said Yuliia Svyrydenko, First Deputy Prime Minister and Minister of Economy of Ukraine.
The law is the basis for the programme of reconstruction of Ukraine with the participation of Polish business. In fact, with this law, Poland has created a programme for the restoration of Ukraine with the participation of Polish business.
The programme includes three points:
- Secure trade with Ukraine
The insurance covers a wide range of risks, in particular, it protects Polish companies from losses caused by non-payment for goods delivered or services rendered. It also includes reinsurance of transport insurance and a guarantee protecting banks issuing letters of credit.
- Support for investments of Polish companies
Support for entrepreneurs in financing investments made in Poland for export to Ukraine and beyond. As well as those investments that will be implemented directly in Ukraine. This is especially true for new acquisitions and mergers.
- Support for the development of Ukraine
Providing financing for investment projects implemented by Polish or foreign entrepreneurs for investors from Ukraine (private and public).
New solutions include reinsurance by other insurers. This will be the case if the risk is above average or if it is impossible to obtain reinsurance on the commercial market. This will mainly apply to reinsurance of transportation risks with commercial insurers (including hull and third-party liability insurance). This will allow Polish entrepreneurs to carry out transportation to Ukraine and participate in the reconstruction process.
The new Polish law also provides for the insurance of Polish branches of foreign companies on an equal footing with local companies. This is an opportunity for Ukrainian companies to expand their business in Poland on better terms.
