Brussels, 06/11/2009 (Agence Europe) - On Friday 6 November, a Belgian measure aimed at limiting the adverse impact of the current financial crisis on exporting firms was approved by the European Commission. The measure tackles the problem of the current unavailability of short-term export credit insurance cover in the private market. The Commission has authorised the measure until 31 December 2010.
Under the notified measure, called "BELGACAP", the Belgian government would provide short-term export-credit insurance to companies established in Belgium. The Commission concluded that the measure meets the following criteria: the necessary cover has become unavailable from the private insurance market as a consequence of the financial crisis; the unavailability of cover for the risk in the private insurance market has been duly demonstrated; the premiums charged under the public scheme are aligned with those of the private market, as stipulated in the Commission's communication on short-term export-credit insurance. The premiums are set at a level that provides an incentive for exporters to have recourse to private insurers as soon as sufficient cover becomes available on the private market. (C.D./transl.rh)