• Parsian Bank Signs an MoU with EXIAR

      Parsian Bank Signs an MoU with EXIAR

      At the 13th session of Joint Commission held by the Islamic Republic of Iran and the Russian Federation, a memorandum of understanding (MoU) was signed between Parsian Bank and the Russian Agency for Export Credit and Investment Insurance (EXIAR). The documents were exchanged between CEO of Parsian Bank Mr. Parvizian and CEO of EXIAR.

      According to Public Relations at Parsian Bank, this event was an outcome of another MoU concluded between Parsian as an export-driven bank and Export Guarantee Fund of Iran (EGFI) last year aiming to expand the share of exports in the total financial facilities granted by banks under exports guarantee fund coverage. The recent MoU between Parsian Bank and EXIAR was signed on Tuesday, December 13, 2016, in an effort to support the Iranian non-oil exports to Russia particularly in the agricultural sector and export of crops, foods, plants, flowers and other items, as well as to operate and finance joint projects between the two countries.  In this cooperation, Parsian will obtain facilities and function as a guarantor or issuer of LoCs, while EXIAR will offer exports insurance policies to cover the risk of banking operations. In this perspective, EXIAR will issue insurance policies in favor of the Russian issuing agent to pay for the premium upon deadline if necessary.
      EXIAR’s maximum insurance coverage in the financial operations amounts to €70 million, which has been set according to assessments made by EXIAR based on banking financial statements updated annually as new data are imported.  In case a financing contract is concluded between Parsian Bank and Eximbank of Russia, EXIAR will offer exports insurance policies upon issuance of repayment LoG by Iranian Ministry of Economic Affairs and Finance, as the case may be, regardless of the maximum coverage mentioned above.
      It should be noted, however, the MoU specifies an individual maximum under Parsian coverage, while providing the opportunity to complete government projects through financial resources allocated by the Russian government for expansion of cooperation in energy, oil and gas, infrastructure, railway and telecommunications.