TBI signs export guarantee agreement with Germany

The agreement, which was signed by TBI and the Iraqi Ministry of Finance with Euler Hermes Kreditversicherungs-AG on behalf of the Federal Ministry of Economics and Labour, allows for short term export credit insurance for German goods and services imported by the Iraqi purchasers.

Under this framework agreement, cover for short-term German export transactions with Iraq will be provided subject to the condition that the Ministry of Finance and TBI shall issue a purchase authorization to evidence their approval of each purchase to be financed. All letters of credit under this agreement must be issued by TBI.

The TBI and Euler Hermes succeeded in negotiating revised conditions for this coverage which will now be the basis for further framework agreements with Iraq's other important trading partners.

"We are extremely pleased to have completed this agreement as it will allow Iraqi importers greater choice and flexibility and it will assist German firms in re-entering the Iraqi market. This is another important step in the economic reconstruction of Iraq and the reintegration of Iraq into the international financial community. TBI is proud to play a role in assisting the Iraqi public and private sectors",

said Mr. Hussein Al-Uzri, TBI chairman and president.