KUWAIT CITY – Egypt is among the top Arab countries in terms of new insurance commitments for exports, according to a new study conducted by the Arab Investment & Export Credit Guarantee Corporation (Dhaman).
In a statement, Dhaman said new insurance commitments were geographically concentrated in five Arab countries which had 67 per cent of the total. They are Saudi Arabia by 23.7 per cent, UAE by 21 per cent, Egypt by 17.2 per cent, Morocco by 8.4 per cent and Qatar by 5.9 per cent.
Due to the disruption of various trade activities over the Coronavirus pandemic, the drop in trade and the slight rise in foreign direct investment inflows into Arab countries during 2020, new insurance commitments for investment, finance and exports to Arab countries against commercial and political risks fell by 7.1 per cent to $108 billion, covering 13.6 per cent of the total Arab merchandise imports, KUNA reported citing a release by Dhaman.
Dhaman’s Director-General Abdullah Al-Sabeeh said Arab countries acquired 4.3 per cent of new commitments for insuring investment, finance and exports in the world at the end of 2020.
He added, according to MENA, that export insurance in different terms had the lion‘s share in new commitments by 92.1 per cent, insurance against political risks hit 4.4 per cent, and the rest went to other additional products.
New medium and long term export insurance commitments were concentrated in the sectors of energy, infrastructure, transport, natural resources and manufacturing by a total share of over 70 per cent, he noted.
Dhaman is a pioneer multinational organization that has provided guarantee services against commercial and noncommercial risks for the last four decades.
Established in April 1974 in Kuwait as the first multilateral investment guarantee provider in the world, Dhaman is owned by the governments of Arab states and 4 Arab financial institutions. It is highly rated by S&P since 2008.
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