Kenya and German firms enter into insurance deal

By JACKSON OKOTHGermany companies can now sell their products and services to Kenya on credit. This follows a deal between Euler Hermes, a German export credit agency, African Trade Insurance Agency (ATI) and audit firm PricewaterhouseCoopers. This development enables German exporters enhance their businesses in Kenya and other African markets. On the other hand, African firms will now be able to obtain information on available opportunities on the German market. Under the agreement, one of the key features will be risk sharing on joint transactions and an exchange of credit information on international markets. "This agreement supports what ATI has been witnessing for the past decade—aid without trade is not sustainable," said ATI’s chief executive officer, George Otieno.ATI provides trade credit insurance that protects exporters against non-payment risks from their buyers.The organisation is aggressively marketing this product to exporters in countries across the continent. For Kenyan exporters, Germany is the second largest export destination for Kenyan goods – mostly coffee and horticultural products. Kenya represents an important export destination, shipping in an estimated $13 billion annually from Germany. Kenyan firms will now be able to information on German companies and enable exporters increase access to this market. "This partnership exemplifies German exporters’ strategy to intensify engagement with Africa on multiple levels," said Andreas Klasen of Euler Hermes. Meanwhile, tea production in Kenya, the world’s biggest exporter of the black variety of the leaves, rose eight per cent in July to 26.3 million kilogrammes on improved weather conditions, the industry regulator said. Shipments last month fell two per cent to 37.4 million kilogrammes, with Egypt accounting for 19 per cent of exports, followed by Pakistan and the UK, the Nairobi-based Tea Board of Kenya said in a statement.The volume of tea sold through the world’s biggest auction in Mombasa in July declined eight per cent to 20.7 million kilogrammes, the board said. Production of the leaves in the seven months through July dropped 14 per cent to 204.8 million kilogrammes compared with a year earlier, largely due to lower rainfall and unseasonably dry weather in the region.

Kenya and German firms enter into insurance deal

Get Full Access for Ksh299/Week.

Related Topics

Similar Articles

Latest Stories

The Standard Insider

Digger Classified

GET OUR NEWSLETTER

CONNECT WITH US

FOR THE LATEST JOB ADVERTS

Similar Articles

AI boom raises pressure for clean energy transition

How to pick the right insurance cover for your car

Push for cryptocurrency regulation gathers pace

South Sudan justifies Crawford Capital Port collection role

DIGGER JOBS

Digger Motors

Digger Real Estate

Kenya and German firms enter into insurance deal

Get Full Access for Ksh299/Week.

Related Topics

Similar Articles

Latest Stories

The Standard Insider

Digger Classified

GET OUR NEWSLETTER

CONNECT WITH US

FOR THE LATEST JOB ADVERTS