By Khalid Al-Zaid, KUNA
Cairo : Kuwait-based Inter-Arab Investment Guarantee Corporation (IAIGC) was and still is considered the “receptacle” of a huge number of investment institutions, IAIGC Director General Fahad Al-Ibrahim said on Friday.
Of these investment bodies are Kuwait Fund for Arab and Economic Development (KFAED), the Arab Planning Institute, the Arab Organization of Petroleum Exporting Countries (AOPEC), among others, Al-Ibrahim told KUNA on the sidelines of the Arab League’s Economic and Social Ministerial Council’s meeting, which concluded its sessions here yesterday.
IAIGC had submitted a paper to the meeting concerning investment guarantees in the Arab World and procedures ought to be taken so as to encourage inner, overseas and regional investments, he said, adding that another paper regarding IAIGC contributions to the anticipated economic summit to be held in Kuwait was also proposed.
IAIGC plays a pivotal role in providing guarantees for Arab citizens in order to secure their investments against non-commercial risks and bureaucratic obstacles that might face their projects domestically or regionally, he noted.
Established in 1974, IAIGC is a joint-Arab agency that encompasses all Arab countries and a number of Arab international organizations.
IAIGC’s paid-up capital is approximately USD 189 million, and it is the first international corporation specializing in guaranteeing capital shares, investors’ profits and exporters’ dues.
It aims to promote transfer of Arab capital among Arab countries and enhancement of Arab exports worldwide, by providing guarantee coverage to inter-Arab investments against non-commercial risks, and to Arab export credit, against commercial and non-commercial risks.
IAIGC pays compensation to the guaranteed investors should they not be able to retrieve capitals from the member-country, and similarly pays the value of dues to the exporter should the importer fail to settle.