Today, Members of the Senate, the Upper House of the
Kazakh Parliament, have ratified the agreement, which was signed in Yerevan
last year, for the establishment of the Eurasian Reinsurance Company. Its
purpose is to foster an increase in mutual trade and investment among the EAEU
countries, promote economic integration, and expand trade and economic ties.
According to MPs, the creation of such an organization will boost mutual trade
among the EAEU member states, and most importantly, it will allow increasing
the volume of non-resource exports to third countries. Senate members and
experts emphasize that domestic exporters will benefit from this, as the
company will insure the risks of organizations engaged in export activities.
“The establishment of the Eurasian Reinsurance
Company will enable the domestic export insurance company to transfer up to 20
percent of its insurance risks associated with exports to Russia, Belarus,
Armenia and Kyrgyzstan to the new organization. Consequently, the Kazakh
company will be able to assume additional insurance obligations and, as a
result, provide greater support to domestic exporters. According to expert
estimates, the potential growth in mutual trade within the EAEU could amount to
more than $6 billion. Therefore, Kazakhstan’s economy may receive new
opportunities for expanding its trade and economic ties,” said Suindik Aldashev, Member of the Senate, the Upper House of the Kazakh
Parliament.
“The establishment
of the Eurasian Reinsurance Company will allow us to transfer the risks we
undertake to this organization. Previously, we worked with European reinsurance
companies. For example, in situations where there is a default due to some
political circumstances or the bankruptcy of the enterprise itself, we can compensate
for the losses of the Kazakh company. In fact, we have been involved in this
claim-related work for some time and, when it comes to Central Asian countries,
we receive nearly 100 percent compensation,” KazakhExport Chairman Aslan
Kaligazin said.
