Insurance of the Exporter’s Legal Liability on Forward Currency Transactions

Insurance procedure

• The exporter shall apply to the bank for the conclusion of a forward transaction for currency risk hedging
• Export credit agency of Kazakhstan, the exporter and the bank shall enter into an exporter’s civil liability insurance contract for forward currency transactions
• The exporter shall deliver its products/- services to the importer
• The importer shall pay the exporter for the supply
• If the exporter fails to perform its obligations to the bank under the forward transaction, the exporter shall compensate the bank for losses