Risk prevention in export credit insurance

By Dai Yuxin and Chen Liang, Wintell & Co

Due to the economic downturn, the financial pressures on export-oriented enterprises have become increasingly prominent, and more export-oriented enterprises have alleviated liquidity pressure by way of export financing. Banks that provide such loans often require effective guarantees on export financing, and export credit insurance is a common means of guarantee.

However, connected transaction and delivery of the goods cannot be identified in advance for export credit insurance, which has often caused controversy.

DAI YUXIN Senior Partner Wintell & Co
Senior Partner
Wintell & Co

Identification of connected transaction. Connected transactions are always specifically excluded in insurance coverage under export credit insurance contracts. However, it’s more difficult to identify connected transactions in the export process than in domestic trade. It’s also hard to identify connected transactions with existing means of verification. The most common way of verification is to determine its relevance with domestic export enterprises through investigation of the investment and equity situations of the intended trading companies by lawyers of the country where the transaction is taken place.

You must be a subscribersubscribersubscribersubscriber to read this content, please subscribesubscribesubscribesubscribe today.

For group subscribers, please click here to access.
Interested in group subscription? Please contact us.



Dai Yuxin is a senior partner and Chen Liang is an associate at Wintell & Co



长泰国际金融大厦1901室 邮编:200122

Room 1901-1905, Chamtime International Financial Centre, No. 1589 Century Avenue

Pudong, Shanghai 200122, China

电话 Tel: +86 21 6854 4599

传真 Fax: +86 21 6854 5667

电子信箱 E-mail: