Our country cover policy for countries in the Middle East
Country Cover Policy
This information about our country cover policy is intended for companies wishing to export capital goods or services. The cover policy which Atradius Dutch State Business maintains for a particular country is in principle valid for every transaction for that country which it is requested to insure.
All amounts are stated in millions of euros. Please read further for an explanation of the country cover policy and premium category denotations.
Our Cover Policy Explained
Our country cover policy applies to all transactions we insure on behalf of the Dutch state. In the table below we indicate the cover policy per country. For each country we have a country ceiling, you can see how much has been used under that ceiling, we indicate if there is
a notice of cover situation (da)
. Under conditions you can see if the Sustainable Lending Principles & Guidelines are applicable and if DGGF can be used.
Countries are classified in categories ranging from 0 (lowest risk) to 7 (highest risk). The country category is an important factor when calculating the premium for an insurance policy.
Legend
| 1. Open wthout restrictions |
4.
Cover by exception only
|
| 2. Open with restrictions |
5. Policy is being reviewed |
| 3. Case by case |
|
| COUNTRY |
COVER |
COUNTRY CATEGORY |
COUNTRY CEILING |
USED PER END JULY 2019 |
CONDITIONS |
| Bahrain |
2 |
5 |
1500 |
10.7 |
|
| Egypt |
2 |
5 |
1500 |
19.2 |
DGGF |
| Iran |
2 |
6 |
900 |
134.0 |
|
| Iraq |
4 |
7 |
|
|
DGGF |
| Israel (East Jerusalem) |
4 |
|
|
|
|
| Israel (Gaza) |
4 |
|
|
|
DGGF |
| Israel (Golan Heights) |
4 |
|
|
|
|
| Israel (including East Jerusalem) |
1 |
0 |
|
|
|
| Israel (West Bank) |
4 |
|
|
|
DGGF |
| Jordan |
2 |
5 |
1500 |
3.5 |
DGGF |
| Kuwait |
1 |
2 |
|
446.7 |
|
| Lebanon |
2 |
7 |
300 |
|
DGGF |
| Libya |
4 |
7 |
|
|
DGGF |
| Oman |
2 |
4 |
4000 |
1609.5 |
|
| Qatar |
1 |
3 |
|
33.2 |
|
| Saudi Arabia |
1 |
2 |
|
94.0 |
|
| Syria |
4 |
7 |
|
|
IMF/WB restrictions; |
| United Arab Emirates |
2 |
2 |
|
362.0 |
|
| Yemen |
4 |
7 |
|
|
IMF/WB restrictions; DGGF |
Glossary
Country Ceiling (Limit)
Our country cover limit indicates the amount of risk we are in principal prepared to insure. There are no ceilings for countries with category 0-3, provided that these countries have an investment grade rating with all rating agencies (Fitch, S&P and Moody’s). All other countries do have ceilings. For countries with the indication ‘cover by exception only’ we do calculate a ceiling, but we don’t publish it. If you want to discuss the possibilities, please contact your account manager.
Notice of Cover (NC)
If there is insufficient capacity under a particular country limit to book a transaction, we may issue a notice of cover. The early warning limit is 75% of the country limit. If a transaction exceeds an early warning limit, a promise of cover or policy can be issued. After that we enter into a notice of cover situation. A notice of cover does not represent a commitment to insure a transaction. It represents solely an underwriting assessment of a transaction. If there is sufficient capacity under the country limit at a later date, we will reassesse the transaction according to the prevailing criteria to determine whether we can then issue an insurance policy. Hereby applies that the capacity between the early warning limit and the country limit may be used to convert a notice of cover into a policy. The Notice of cover period is automatically terminated when the exposure of all policies, promises of cover and notices of cover becomes lower than the early warning limit.
Signing clause
In some cases Atradius Dutch State Business may issue a promise of cover which includes a clause stipulating that the exporter must not sign his export contract before obtaining written approval from us. In other cases Atradius Dutch State Business may issue a promise of cover which includes a clause stipulating that the exporter, whose signed contract has not yet entered into force because he must still fulfil a specific condition precedent, may not fulfil this condition precedent until he has obtained written approval from us to do so.
Sustainable Lending Principles and Guidelines are applicable
The Netherlands endorse the IMF/World Bank principles concerning debt sustainability in developing countries. These principles mean that public entity buyers in particular countries may borrow funds only if they (the buyers) meet good governance requirements and only for transactions which meet minimum applicable concessionality requirements. In the ‘Conditions’ column you can see for which countries IMF/WB principles are applicable. Your account manager can indicate under which conditions public entity buyers from the relevant country may borrow.
DGGF
This means cover is available from the Dutch Good Growth Fund (DGGF). Please click for more information.
Risk map
Under downloads you will find the most recent Atradius risk map. This map gives an indication of the different country risks. You can check the actual country risk in the overview on this web page or you can contact us (+31 (0)20 553 26 93).
