Arash Shahr Aeini, a member of the board of director of the fund, told NIPNA that the plant has been submitted to the government cabinet for deliberation and is in fact the fund’s new strategy to guarantee export of products by Iranian producers by financing domestic projects especially petrochemical ones.
He said the plan is aimed at providing credits for projects which export over half of their output.
Furthermore, the fund is also planning to facilitate financing of projects by foreign creditors, he added.
Export Guarantee Fund of Iran, as the only state owned export credit insurance company of the country, is Iranian exporters’ most trusted consultant and supporter via its insurance and guarantee services for their sound presence in new markets and maintenance of the present markets as well as its export finance facilitation. EGFI serves I.R. of Iran’s exporters.
The EGFI was established following the devaluation of US Dollar and the consequent shortage of oil revenues in the early 70s, with UNCTAD‘s cooperation, as the only Iranian state–owned export credit insurance entity affiliated to the Ministry of Commerce acting under the supervision of the Export Promotion Center of Iran in 1973 with the aim of covering Iranian exports against major political & commercial risks.
The operation of the newly established organization could not last long since the oil prices increased as a result of the political developments in the Middle East in the mid-70s, which brought about increased oil revenues and consequently led to the complete disruption of EGFI’s activities.
Following 10 years of inactivity, EGFI was re-set up as an independent entity affiliated to the I.R. of Iran’s Ministry of Commerce in 1994 to help Iranian exporters re-establish their trading positions following the disruption caused by the 8-year imposed war and to increase the country’s non-oil exports revenues.