Small and micro enterprises obtain export credit insurance
- Details
- Category: Governmental News
- Published: Tuesday, 06 May 2014 15:01
To support the development of small and micro foreign trade enterprises, Haishu Bureau of Commerce and China Export & Credit Insurance Corporation (Ningbo branch) jointly launched the government-funded credit insurance platform for small and micro businesses. So far, 1400 small and micro enterprises have been included in the system.
It is understood that the credit insurance premium for the enterprises will be fully funded by the government at the county or district levels. The related enterprises can claim to the Ningbo branch of China Export & Credit Insurance Corporation all the losses suffered that are within the insurance coverage.
With the credit insurance funded by the government, the small and micro enterprises have more confidence in expanding their business. "When we are reaching new clients, we are more confident to accept large orders with the export credit insurance." said Pan Xingliang, General Manager of Ningbo Mode Textile Co. Ltd.
"According to our preliminary statistics of 2013, business for the small and micro enterprises insured by the export credit insurance increases by 22% over the previous year, 25 percentage point higher than the average growth of the export in the whole city, demonstrating a good driving function for the steady development of foreign trade in Ningbo. The compensation (up to $80,000) can cover the risks encountered by small and micro enterprises when expanding their overseas markets." said a person from the Ningbo branch of China Export & Credit Insurance Corporation.
So far, there are 12,000 enterprises in Ningbo involved in foreign trade, about 10,000 of them being small and micro enterprises.
