NEW FUND TO INSURE AGAINST FINANCIAL RISKS
A guarantee fund for insurance against financial and credit risks will start working by the end of this year. It will be set by Levski Spartak Insurance Company and by the French Surety Fund Global. Representatives of both companies met in Sofia early this week (the BANKER weekly has already informed you that on May 23 the two insurance companies signed a letter of intents).The aim of the project is to ease the procedure for launching consumer and firm credits through insuring against risk. The insurance will be offered like the standard insurance policies without clients to be obliged to present additional financial or property guarantees. The idea was discussed with representatives of the Insurance Supervision Agency who expressed full approval of the project, commented Stefan Sofianski, Executive Director of the company, to the BANKER weekly. We're planning the fund to start working with a capital of USD2MN, he added.Most probably, the fund will at first co-operate with one bank only and later on their number will grow. There is also an option the banks to become its shareholders.Surety Fund Global is an European financial and insurance company based in Paris. The company has offices in the Netherlands, Germany, Tunisia, Morocco and China. Bulgaria is the first East-European country in its list of partners.