Rating foreign buyers and guarantors
Sovereign risk
The OECD has set a minimum premium rate, or MPR, for cover on transactions under government guarantees and with credit periods of 24 months or more. The MPR corresponds to the premium for the coverage of transfer risk, political risk and credit risk.
Other public debtors/buyers
We levy a five percent surcharge on the MPR for transactions with regions, cities, public authorities, regional development banks and public financial institutions as buyers/guarantors.
Commercial banks and buyers under commercial law
We group buyers and banks in five levels, level 1 representing low risk without loading and level 5 for high risk with the highest loading. Loading rates on the MPR are dependent on buyer or bank risk rating.
Actual premiums are listed in our premium tariff.
Version: 31.07.2009