A bill is being prepared in Poland aimed to provide for reinsurance of risks of enterprises with Polish capital registered in Ukraine in the areas of contracts and investments.
Reinsurance will be provided by a Polish state Insurance Corporation (KUKE) for a long-term period (2 years or more). It is also planned to introduce reinsurance of cargoes transported to Ukraine.
Currently, about 3,000 companies with Polish capital operate in Ukraine. russian military aggression has significantly affected risk assessment in investment, trade, logistics, etc. The legislative innovation will increase the interest of Polish business and give it confidence. And Ukraine, in turn, will be able to count on stable long-term Polish investments and supplies of vital imports.
This is not the first step by Poland to provide insurance support to companies working with Ukraine. In June, the Polish Government decided on expanding the possibilities of risk insurance in bilateral trade. Insurance guarantees were also provided by KUKE. The relevant insurance covers contracts for the supply of goods included in the list of critical imports.
It is worth noting that Poland is the second (after China) among the top trade partners of Ukraine and the first among European partners. The total volume of bilateral trade in 2021 amounted to almost $11 billion.
Interestingly, the war did not reduce, but rather increased activity. In January-June, trade between Ukraine and Poland amounted to $5.4 billion, up by 17% YoY.
“We are very grateful to our Polish partners for their economic support initiatives. Including through the instruments of insurance of Polish business. The Ukrainian economy is holding on and developing largely due to the assistance of Poland, which has become our economic hub,” said Deputy Prime Minister – Minister for Reintegration of the Temporarily Occupied Territories of Ukraine Iryna Vereshchuk. (Government portal/Business World Magazine)