Investment Insurance For Banks & Financial Institutions

Investment Insurance For Banks & Financial Institutions

    – Non-Honoring of Sovereign Financial Obligations / Political Risk Insurance of Cross-Border Loans
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Political Risk Insurance for Equity Investments, Debt Finance and Loan Guarantees

  • Currency inconvertibility and transfer restrictions.
  • Expropriation.
  • War or civil disturbance.
  • Breach of contract.

Non-Honoring of Sovereign Financial Obligations / Political Risk Insurance of Cross-Border Loans

  • Non-Honoring of Financial Obligations by the sovereign / sub-sovereign / State-owned Enterprises (SOEs)
  • Facilitates access to finance.
  • Protects balance sheet against losses due to non-commercial (i.e. political) risks.
  • Attracts additional project capital.
  • Enables the penetration of high-risk markets.
  • Reduces cost of funding
  • New investments, acquisition or expansion of existing investments / projects.
  • Investment not prohibited by Shariah.
  • Investments being undertaken in a Member Country.
  • Up to 20 years

How It Works ?

  1. Investor submits a preliminary application to ICIEC, ICIEC gives its initial ‘in-principle’
    approval and requests a full detailed application and payment of applicable fees.
  2. Applicant submits completed Main Application. On the basis of the detailed
    application, ICIEC will assess the project / country risks.
  3. Should ICIEC management approve the insurance, ICIEC will issue an investment
    insurance policy to the investor.
  4. ICIEC will obtain the non-objection of the government of the host country.
  5. In case of risk occurrence, the investor submits a claim to ICIEC and ICIEC pays the
    compensation.
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