One of the principal objectives of the system is to harmonise the way export credit agencies in the OECD calculate premiums. This will secure fair competition and the highest possible degree of equal conditions between companies from different countries.
The most important new features of the new premium system are:
• In future, all export credit agencies in the OECD will operate with common minimum prices, also for commercial risk. So far common minimum prices have applied to political risk only.
• In future, there will be more focus on prices in the richest countries. The aim is to enhance the transparency of pricing and ensure that the prices of officially supported export credit agencies are in line with prices in the private export credit market.
• A new classification system for commercial risk will be introduced. In future, commercial risk will be assessed on a scale from CC0 to CC5.
As from 1 September, offers and guarantees will be issued under the new premium system. Relative to EKF's previous prices, we generally expect:
• An almost unchanged average premium level
• Slightly lower prices for risks in emerging countries
• Slightly higher prices for weak risks in the richest countries
As from Monday, 5 September, you can visit www.ekf.dk
and calculate an indication of the premium level with the new prices.
Existing guarantees and agreements will not be affected by the changes, and their prices and terms will continue unchanged. Accordingly, offers issued before 1 September 2011 will remain valid until expiry – up to March 2012.
We will strive to make the change as smooth as possible for our customers and business partners. Please do not hesitate to contact us if you have any questions regarding the new prices and EKF's new premium system.