Estonia - State Export Guarantees Act
- Estonia
- 12/23/2009
- Raidla Lejins & Norcous
On 29 October 2009, the Estonian Parliament (Riigikogu) adopted the State Export Guarantees Act. The purpose of the act is to create additional possibilities for developing exports and to strengthen protections for undertakings operating in Estonia against potential loss arising from export transactions. Pursuant to the prior act, export guarantees were issued by the Credit and Export Guarantee Fund KredEx. But KredEx could only issue guarantees to exports to third countries, outside the EU and the OECD countries and the amounts of the guarantees issued were not sufficient. The new act authorizes creation of a new insurance provider to be funded with state participation that will start providing export guarantees in the form of credit insurance. This new insurer also will be in a position to offer export insurance to exports aimed towards EU and OECD states. The act entered into force on 10 November 2009
