Korea Trade Insurance Corporation Launches 'Iran Crisis Emergency Task Force'...Liquidity Support for Exporters

Expansion of Trade Finance Support
Credit Guarantee Limit Increased by Up to 1.5 Times Compared to Previous Levels

Jang Youngjin, President of the Korea Trade Insurance Corporation, is chairing the "Emergency Response Task Force for the Iran Situation" meeting at the headquarters in Jongno-gu, Seoul, on the 10th. Korea Trade Insurance Corporation.

Korea Trade Insurance Corporation has activated an emergency response system to minimize damage to domestic exporters caused by the Iran crisis and the spread of conflicts in the Middle East.

On March 11, Korea Trade Insurance Corporation announced that it had established the ‘Iran Crisis Emergency Task Force (TF)’ to respond to the Iran crisis and is preparing emergency support measures for exporters.

The task force is overseen by President Jang Youngjin of Korea Trade Insurance Corporation, with three vice presidents each in charge of support for affected companies, risk assessment, and policy and research. This structure is intended to enable simultaneous response to damages, risk management, and policy support in anticipation of a prolonged period of instability in the Middle East.

The task force will focus on monitoring damage to exporters shipping to seven countries near the Strait of Hormuz and Israel, as well as to companies involved in Middle Eastern projects. The countries covered are Saudi Arabia, the United Arab Emirates (UAE), Kuwait, Qatar, Bahrain, Iraq, and Iran.

The task force will receive real-time reports of damages and difficulties faced by exporters in these regions, and will oversee the provision of emergency funding and the coordination of relevant government policies.

Korea Trade Insurance Corporation has also decided to expand trade finance support to ease liquidity pressures on exporters. It will raise the credit guarantee limit by up to 1.5 times compared to current levels and will strengthen funding support by extending guarantee certificates at maturity without any reductions.

In addition, if an insurance claim occurs, the company plans to expedite the compensation process to prevent a sudden deterioration in corporate cash flows.

Furthermore, to help companies with high dependence on the Middle East diversify their overseas clients, free overseas credit investigation services and customized consulting for each company will be provided.

President Jang Youngjin stated, "We have prepared emergency support measures for liquidity assistance and the diversification of export clients in preparation for the possibility of a prolonged crisis," adding, "We will take preemptive action to minimize exporter losses through close cooperation with the Ministry of Trade, Industry and Energy and related agencies."

This content was produced with the assistance of AI translation services.