UAE’s Federal export credit company, Etihad Credit Insurance (ECI), and its Indonesian counterpart PT Reasuransi Indonesia Utama (Indonesia Re) have signed a reciprocal reinsurance agreement in order to bolster their bilateral trade.
According to the statement, they also intend to expand their collaborative initiatives across the globe by fostering sustainable and inclusive economic development and corporation.
This pact follows the MoU signed between ECI and Indonesia Re, as part of a high-level delegation meeting of both countries’ ministers and government officials held in the UAE in November.
“The reinsurance agreement between ECI and Indonesia Re is a natural progression of decade-long business relation between the two countries and the implementation of the recently signed MOU. This agreement is a perfect warm-up for the UAE’s presence at the imminent G20 summit, which reflects the importance of collective action and inclusive collaboration among major developed countries and emerging economies around the world, which is the core purpose of the G20 under Indonesia’s Presidency. The reinsurance agreement focuses, among others, on trade and project financing for micro, small, and medium-sized enterprises, including but not limited to the health sector, sustainable energy, and digital transformation.”
According to the statement, “It aims to build stronger collaboration between ECI and Indonesian Re to boost export relations between the two friendly nations by protecting businesses that want to venture into new markets from political, commercial, and noncommercial risks.”
The two state-owned institutions will make it easier for these companies to access liquidity and funds to pursue their international expansion.
Mr. Benny Waworuntu, CEO of Indonesia Re said that, “We are delighted to reinforce our partnership with ECI through this reciprocal reinsurance agreement. We’re confident that this will become a catalyst in empowering Indonesia’s commercial ties with the UAE and make a marked difference for our respective businesses by furnishing companies in both countries with ideal and innovative export credit insurance solutions.”