Administrative Board of AOFI

At the meeting of the Administrative Board of the AOFI held at the beginning of January 2008 the Terms and Conditions for Export Credit Insurance of Short Term Foreign Receivables against Commercial and Non-commercial Risks were adopted. In this way formal legal prerequisites were created for insuring export receivables of the Serbian companies against non-commercial risks, in addition to being insured against commercial risks.
Non-commercial risks, as defined in AOFI Terms and Conditions, include:
1) Non-payment of debt within six months from the contracted due date, if the debtor is a government, a government institution or a person for which a government or a government institution has provided guarantees;
2)  Political events in the debtor’s country or a state of war in the country of debtor’s nationality with another country;
3) General payment moratorium, impossibility of conversion of the debtor’s currency into convertible currencies or transfer ban, until the expiry of such bans;
4) Ban on import of goods or services by the government or a government institution as a buyer or a service recipient;
5) Unilateral contract termination by the government or a government institution as a buyer or a service recipient, save when such unilateral termination resulted due to a breach of customs or sanitary regulations of the importer’s country i.e. the service recipient’s country;
6) Seizure, damage, disposal prohibition or destruction of goods carried out by the government or its institutions, from the moment the goods crossed the state border until their arrival to the foreign debtor.