The Swedish government proposes allocating 333 million Swedish kronor for special export credit guarantees for companies trading with Ukraine. This initiative has been included in the budget project for 2024 and is awaiting approval.
The guarantees will be provided by the Swedish Export Credit Agency and will cover exports from Swedish companies to Ukrainian importers. These policies will be available from 2024 for exports of goods classified as development assistance and will be applicable to transactions for up to three years, but no later than the end of 2026.
For Ukrainian and Swedish companies, these guarantees mean safer conditions for delivering essential goods to Ukraine, protection of investments, and compensation in case of force majeure. This will reduce the risk borne by businesses individually in agreements with Ukraine, making Swedish companies more willing to enter the Ukrainian market.
"An increasing number of Export Credit Agencies (ECAs) from various countries around the world are joining the risk insurance for their exporters to operate in Ukraine. The fact that Sweden will also insure risks in Ukraine from the next year is an important signal. It means that the investment insurance market in our country, despite all the security challenges, is starting to work. We are very grateful to the Swedish government, and we hope that the Riksdag will support this decision," said Ukraine's First Vice Prime Minister and Minister of Economy, Yulia Svyrydenko.
Previously, Export Credit Agencies from Germany, France, Italy, the UK, and Japan confirmed their participation in insuring political risks for their companies operating in Ukraine. This includes coverage for political violence, non-convertibility, and expropriation risks. Additionally, the Polish state-owned Corporation of Export Credit Insurance (KUKE) is ready to provide insurance for Ukrainian and international investors.
