eng--brochure
TRANSCRIPT
Activities & Services
More than 35 years of experiencein credit & political risks insurance
The Arab Investment & Export Credit Guarantee Corporation
“Dhaman”
Your Partner for Success!
www.dhaman.org
The Arab Investment & Export Credit Guarantee Corporation “Dhaman”
WHO WE ARE
Dhaman is an Arab supranational political risk (investment) and credit insurance provider. Its membership comprises all Arab states and four pan regional financial institutions owned by Arab governments. A Shareholders’ Council and a Board of Directors representing the Member Countries guide the programs and activities of Dhaman. Voting power is weighted according to the share of capital each Member Country has. Based in Kuwait, Dhaman commenced its operations in April 1975 as the first multilateral investment guarantee provider in the world. It is rated AA stable outlook by S&P.
OUR MEMBER COUNTRIES
AlgeriaBahrainDjiboutiEgyptEmiratesIraqJordanKuwaitLebanonLibyaMauritaniaMoroccoOmanPalestineQatarSaudi ArabiaSomalia SudanSyriaTunisiaYemen
OUR TEAMOur staff has extensive experience in commercial and political risk insurance, with backgrounds including risk management, banking, financial analysis, trade and project finance and international law.
OUR HISTORY
1974 Establishment of the Corporation1975 Started providing investment guarantee against political risks1985 Launching of “The Investment Climate in the Arab Countries” report1986 Started providing credit risk insurance 2000 Increase of the capital by USD 100 million2005 Launching of the lease insurance policy2006 Launching of the LC confirmation insurance policy2008 First rating obtained by Dhaman AA- stable outlook by S&P 2009 Launching of AMAN UNION, a union of Arab & Islamic ECAs 2010 Launching of the factoring insurance policy2011 Started providing domestic credit insurance in Member countries2012 DHAMAN is rated AA Stable Outlook by S&P
OUR MISSION
Promote the flow of foreign direct investment (FDI) into Arab countries through providing political risk insurance to Arab and non Arab investors and lenders;
Enhance Arab countries’ exports through providing political and commercial risk insurance to Arab exporters;
Support Arab domestic trade through providing commercial risk insurance to B to B sales; Support economic growth in Arab countries through providing political and commercial risk insurance to non Arab exporters and financial institutions involved in the sales of commodities, raw materials, equipment and other developmentally sound goods and services to Arab importers.
OUR VALUE
Research and FDI promotion: Dhaman undertakes the promotion of the flow of investments within Arab countries by carrying out research and knowledge sharing activities, technical assistance to Arab FDI promotion agencies, and cooperation with Arab and international organizations involved in investment promotion.
Prompt claims payment: thanks to its strong balance sheet and stable stream of operating income, Dhaman pays claims promptly and within short waiting periods: from one to four months depending on the insured risk. Compensation reaches 90% of the loss with the possibility to obtain 100% of the loss in some cases. Dhaman’s preferred creditor status with its member countries allowed the recovery of 100% of political risk related claims in Arab countries.
Easier access to funding: our insurance policies help exporters and investors obtain trade and project finance from banks on enhanced terms. Our rating helps reduce provisioning requirements for lenders, leading to reduced borrowing costs.
Capacity mobilization: Dhaman is able to provide insurance for large scale transactions through its ability to secure reinsurance capacity.
www.dhaman.org
OUR CUSTOMERS
Dhaman provides bespoke, comprehensive, and cost-effective risk-mitigation products to investors, exporters, banks, lessors, factors and credit and political risk insurers.
THE RISKS WE COVER
Commercial Risks: Bankruptcy and protracted default;
Political Risks: Nationalization, confiscation, sequestration, expropriation and compulsory seizure. Military actions emanating from the Country of Import , the Host Country or from a foreign source. Public civil disturbances such as revolutions, coups d’états and acts of violence of a public nature. Currency inconvertibility, non-transfer and imposition of a discriminatory rate of exchange. Breach of contract by a host government (includes arbitral or judicial award default).
OUR PRODUCTS
For exporters:
Short Term Credit Insurance Policy covering revolving receivables generated from pre-agreed foreign buyers. The cover may be extended to buyers in the local market (Domestic Credit Insurance). Risks covered: commercial and political.
Medium to Long Term Credit Insurance Policy covering a single transaction with an agreed amortization schedule (up to 7 years). Risks covered: commercial and political.
Unconfirmed Letter of Credit Insurance Policy protects against the payment default of the issuing bank under the Letter of Credit (specific transaction). Risks covered: commercial and political.
For investors
Investment Insurance Policy Covers Arab and non Arab direct or indirect investments in Arab countries, including total project ownership, equity and investment portfolios (shares & bonds). Cover is provided for 10 years and can be extended to 15 years. Both new and existing investments are eligible. Risk covered: political only.
Contractor’s Equipment Insurance PolicyCovers mobile assets used by the contractor in the host country. Risk covered: political only.
For Banks
Confirmed Letter of Credit Insurance Policy protects the L/C confirming bank against the default of the issuing bank. Risks covered: commercial and political.
Buyer Credit Insurance Policy (Trade Finance): protects lending banks against the non-payment by the foreign borrower (importer or bank) of the credit amount disbursed to the exporter. Buyer credit insurance is available for short term as well as for medium to long term. Risks covered: commercial and political.
Loan Insurance Policy (Project Finance): protects the lender against the risk of non-payment of a Public Debtor (Non-honoring of Sovereign Financial Obligation) or a Private Debtor. Loan tenor must exceed 3 years. Risk covered: political only.
For Factors and Lessors
Factoring Insurance Policy covering revolving receivables generated from pre-agreed foreign and local buyers. Risks covered: commercial and political.
Leasing Insurance Policy: protects the lessor against the default of the lessee. Cover applies to both cross border and domestic leasing transactions. Risks covered: commercial and political for cross border leasing and commercial only for domestic leasing.
For Credit and Political Risk Insurers and reinsurers
Dhaman provides additional capacity to credit and political insurers and reinsurers on a facultative basis. Dhaman significantly participates in quota share reinsurance treaties signed between ECAs from Member Countries and international reinsurance providers.
www.dhaman.org
Activities & Services
“Dhaman”
Your Partner for Success!
Regional Office:Kingdom of Saudi ArabiaP.O. Box 56578, Riyadh 11546Tel: (00966) 1 4789270 / 80Fax: (00966) 14781195Email: [email protected]
CONTACT DETAILSMain office:The Arab Investment & Export Credit Guarantee CorporationP.O. Box 23568 Safat 13096State of KuwaitTel: (00965) 24959555 / 000Fax: (00965) 24959596 / 7Email: [email protected]: www.dhaman.org
www.dhaman.org