France has introduced a bilateral mechanism for insuring investments in Ukraine. The French state-owned insurance company, Bpifrance Assurance Export, will insure French companies that are ready to invest in Ukraine and take an active part in the country's reconstruction without waiting for the war to end.
Any company operating under French law and making a long-term investment abroad in a new or existing company, or any credit institution providing a bank loan to a foreign subsidiary, is eligible for this investment insurance. It protects investors or credit institutions that extend investment loans against the risks of property damage, non-payment, non-transfer, expropriation, or political violence. The insurance covers up to 95% of the loss of the investor's assets or receivables.
In addition, France continues negotiations with partners to support Ukraine's economy and mobilize innovative financial instruments for Ukraine's recovery.
"We had many discussions and negotiations about France insuring its companies against war risks, and finally, we have the result of this hard work. The French Export Credit Agency has started providing guarantees for companies interested in rebuilding Ukraine. We are witnessing a revival of interest from the French commercial sector in working in Ukraine, so this decision is a signal to French companies that they can enter the Ukrainian market more actively," says First Deputy Prime Minister and Minister of Economy of Ukraine Yulia Svyrydenko.
On September 13, an online presentation of the investment risk insurance programme for French businesses “Introduction of the French investment insurance mechanism in Ukraine against war-related risks” was held. The event was organised by the Franco-Ukrainian Chamber of Commerce and Industry. The event was attended by over 150 leading French and Ukrainian companies already operating in Ukraine or considering entering the Ukrainian market.