Payment Guarantees

Payment guarantees issued by the Export Credit Insurance Corporation (KUKE) secure the punctual amortisation of an exporter’s obligations toward its suppliers both within the domestic jurisdiction and internationally. Furthermore, the exporter is enabled to mitigate default risks regarding liabilities held with banking institutions and factoring companies that finance the invoices executed by its underlying suppliers.

The guarantee instrument insulates the settlement of the exporter’s accounts payable toward both domestic and foreign suppliers. By leveraging KUKE’s guarantee, an exporter engaging in the procurement of commodities or services can secure highly favourable payment terms – specifically the deferral of payment via trade credit – from its counterparty, while concurrently indemnifying up to eighty percent of the aggregate liability through the KUKE facility.