The¬†25-country membership of the International Credit Brokers¬†Alliance (ICBA)¬†advises exporting companies in BRIC and MAVINS countries to protect themselves¬†from both trade¬†and political risk from their Western counterparts.¬†ICBA‚Äôs ability to combine local service with global¬†coordination to¬†provide trade, credit and political risk insurance solutions¬†for multinational companies drives success for ICBA clients¬†in developing¬†economies. ICBA is meeting today in Johannesburg for its Annual General¬†Meeting.
‚ÄúWhile¬†economies in America and Europe¬†continue to experience¬†headwinds,¬†growth is increasing in Brazil, Russia,¬†India and China (BRIC) and the surging¬†economies in¬†Mexico, Australia, Vietnam,¬†Indonesia, Nigeria and South¬†Africa (MAVINS) as well as Colombia and Turkey,‚ÄĚ¬†says ICBA Operating Chairman Emmanuel Portier, who is also¬†Partner at ICBA¬†France. ‚ÄúThe world‚Äôs emerging multinationals need to adopt the best practices¬†of more established¬†multinationals regarding trade and political risk, and ICBA¬†brokers are here to help.‚ÄĚ
Each of the BRIC countries is predicted to become one¬†of the six largest economic powers by surpassing traditional¬†economic powers,¬†including Germany, England, France and Italy, by 2050, and the MAVINS could¬†easily equal 60¬†percent of America‚Äôs current economy by as early as 2020, over¬†200 percent by 2050, stated the Korea Times in an¬†article published last month.
ICBA offers trade credit and political risk¬†insurance, and reliable, innovative solutions that meet 2011 business¬†requirements. ‚ÄúICBA brokers have a financial rather than a basic insurance background.¬†This is a critical differentiator¬†in the industry as trade credit insurance¬†coverage becomes increasingly driven by banking and financial rules, such¬†as¬†European IFRS and Basel II protocols,‚ÄĚ says Portier. ‚Äúand to generate an¬†insured‚Äôs cash capacity, based on¬†receivables secured, is also a primary concern¬†when building a credit insurance policy that works for a company.‚ÄĚ
The¬†ICBA serves over 7000 clients globally, including 320 multinational companies, and¬†this number continues to¬†increase. Business successes come by way of¬†collaboration and multi-lateral agreements among ICBA global¬†members. The ICBA broker network combines local service with¬†global coordination to provide trade, credit and¬†political risk insurance¬†solutions for multinational companies in every sector. ICBA entrepreneurs¬†intend to build¬†rapport and collaboration deeper into the ICBA alliance ‚Äď this is¬†one of the strongest features and the future of the¬†organization.
Also in¬†Johannesburg this week, Russian and Japanese insurance brokerages will make presentations¬†as they seek¬†membership in the ICBA.
Source : ICBA Press Release