- MOU signing with CitiBank N. A. to reinforce its support to Korean companies’ business in the U.S.
- Meeting with MIGA on cooperative measures on reinsurance to reinforce insurance protection for Korean overseas projects

■ K-sure took dual actions to bolster its cooperative ties with international financial institutions.

■ Korea Trade Insurance Corporation (K-sure, www.ksure.or.kr, Moon Jae-do, president) signed a MOU with Citibank North America (Citibank N.A.) and had a meeting with the Multilateral Investment Guarantee Agency (MIGA) to promote the export and overseas business of Korean companies. The MOU signing and the MIGA meeting were held back to back on June 29 and 30 respectively both in Washington D.C., the capital of the U.S.

  ○ Multilateral Investment Guarantee Agency
   - An international financial institution which is a family of the Work Bank Group, offering political risk insurance and credit enhancement guarantee.
    * World Bank Group: Comprised of the International Bank for Reconstruction and Development (IBRD), the International Development Association (IDA), the International Finance Corporation (IFC), the Multilateral Investment Guarantee Agency (MIGA), and the International Centre for Settlement of Investment Disputes (ICSID)

   - A total of 181 member countries - 25 advanced countries and 156 developing countries. Korea became a member in July, 1988.

○ K-sure explained that the MOU with Citi is expected to provide more focused supports to Korean companies for their business and investment - such as production base setup - in the United States through a more closely knitted cooperative network forged with the bank via the MOU.

○ Under the terms and conditions mutually agreed by the two institutions through the memorandum, Korean investment heading towards the U.S. can enjoy expanded financial insurance cover from K-sure based on up to U$1 billion of loan financing offered by Citi with the backing of K-sure’s guarantee.

○ Furthermore, the MOU is also expected to reinforce K-sure’s financial supports to Korean SMEs going abroad with Korean conglomerates and boost Korean companies’ business and investment in the U.S. where U$ 1 trillion infrastructure plan was announced early this year.

■ On the next day, Friday, June 30 (local time), K-sure had a meeting with MIGA in Washington D.C. to explore cooperative measures on providing reinsurance cover for Korean companies to broaden and bolster K-sure’s support to their overseas projects.

○ The recent trend in the overseas project market wherein exporters get actively engaged and involved in the all phases of project process - from project finding, development, investment, construction to operation, demands a more sophisticated insurance protection which can help companies effectively avert financial risks from their investment in project-related equities.

○ Given such a trend, K-sure and MIGA agreed to have more detailed follow-up discussions to draw up a specific plan for MIGA providing 100% insurance cover to Korean companies on their overseas equity investment, which is reassured again by K-sure’s reinsurance provided with a predetermined cover ceiling.

○ This reinsurance-based cooperative frame between K-sure and MIGA is expected to provide an effective risk aversion tool to Korean exporters, facilitating their active business expansion into overseas markets, especially emerging ones, with a stronger operational and business security.

■ Mr. Moon Jae-do, president of K-sure, stated that “K-sure’s recent moves to reinforce its institutional ties with international financial organizations would provide tangible supports to Korean companies for their endeavor to win more overseas projects, especially the ones in the emerging countries.

○ As the demand for trade insurance support is ever growing in an intensifying global competition over emerging markets, K-sure will do its best to provide its utmost support for the success of Korean exporters.“


* President Moon Jae-do of K-sure signed a MOU on cooperation with CitiBank at Washington D.C., United States, to reinforce its support to Korean companies’ overseas investment and business. From left, Lee Kyoung-rae, Chief Representative of the K-sure New York Representative Office, President Moon Jae-do of K-sure, CEO William J. Mills of Citi Group N.A. and Mr. Valentino Gallo, CitiBank EAF Global Head.


* K-sure (President, Moon Jae-do) had a meeting with MIGA on June 30, at Washington D.C., the U.S., for discussions on providing support to Korean companies’ overseas projects. From right, President Moon Jae-do of K-sure and CEO Keiko Honda of MIGA.