France has introduced a bilateral investment insurance mechanism for Ukraine. The French state-owned insurance company Bpifrance Assurance Export will provide insurance coverage for French companies willing to invest in Ukraine and actively participate in the country's reconstruction, regardless of the ongoing war.
Any company operating under French legislation and making long-term investments abroad in a new or existing company, or any financial institution providing banking credit to a foreign subsidiary, is eligible for this investment insurance. It safeguards investors or lending institutions extending investment loans from risks such as property damage, non-payment, non-transfer, expropriation, or political violence. The insurance covers up to 95% of the losses incurred by the investor or debtor.
Furthermore, France continues negotiations with partners to support Ukraine's economy and mobilize innovative financial instruments for the country's recovery.
"We have had numerous discussions and negotiations regarding the insurance of French companies against war risks, and we finally have the results of this painstaking work. The French export credit agency has begun providing guarantees for companies interested in participating in the reconstruction of Ukraine. We see an increased interest from the French commercial sector in working in Ukraine, so this decision is a signal to French companies that they can actively enter the Ukrainian market," noted the First Vice Prime Minister and Minister of Economy of Ukraine, Yulia Svyrydenko.
It's worth recalling that on September 13, an online meeting on investment risk insurance for French businesses titled "Implementation of a Mechanism for Investment Insurance in Ukraine by France against War-Related Risks" took place. The event was organized by the Franco-Ukrainian Chamber of Commerce and Industry and was attended by over 150 leading French and Ukrainian companies already operating in Ukraine or considering the possibility of entering the Ukrainian market.
