Armenia Export Catalog 2015-2016 | Page 7

Dear Reader, Over the past decade international trade has become dynamic but yet complex. To utilize the competitive edge it is essential to offer foreign buyers flexible payment terms, often being prepared to trade on open account basis. Recent economic turbulence in some of the world’s major economies proved that even most reliable and financially sound companies can default payments on their obligations for reasons beyond their control: rapid currency devaluation, sanctions and administrative enforcements, currency convertibility issues, natural disasters, etc. Such defaults can be most painful especially to exporting SMEs, causing significant financial distress. An effective solution to commercial and political risks related to the payment of foreign buyers is historically considered export credit insurance which offers the policyholder comprehensive protection against the risks of non-payment of their counterparts. To fill in the gap existing on the Armenian market, Export Insurance Agency of Armenia ICJSC was established by the Government of Armenia in late 2013. The export credit insurance product offered by the Agency is a cost-efficient and reliable instrument towards safe international trade. In addition to covering the risk of non-payment, the policy enables the exporters to receive export factoring under preferential rates and conditions, hence solving also the working capital requirements. We welcome the initiative of the Armenian Marketing Association to publish yearly export catalog, considering this an excellent channel to deliver information about our companies and products to different corners of the world. I hope it will become a robust platform for a fruitful B2B marketplace. Best Regards, Vazgen Abgaryan, PhD Acting Executive Director Export Insurance Agency of Armenia ICJSC 5