The EGAP (Export Guarantee and Insurance Corporation) ended in loss of 1 bn in the year 2014. The loss will be covered by the corporations own funds. Compared to the year 2013 the loss is about 8 million CZK more. As for its main purpose the EGAP insured in 2014 export in the value of 47.5 bn CZK that is 16 bn CZK less in year-on-year comparison. According to EGAP director general Jan Procházka this was caused mainly by the unexpectedly worsening situation in Ukraine that brought already approved export to Ukraine in amount of 10 bn CZK to complete halt. Also the insured export to Russia is gradually decreasing for some time. However, Jan Procházka doesn’t see the situation as grim as EGAP has so called “safety cushion” of 10 bn CZK that was provided by the state with the obligation to keep its economic results around net zero in the long term of 20 years. Jan Procházka believes that EGAP would do so and that it will manage to cover its losses in the years to come.
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5th March 2019