Mumbai : The Export Credit Guarantee Corporation of India Ltd. (ECGC) posted a 48 per cent rise in profit at Rs 360.7 crore for the fiscal ending March, 2014, driven by business growth as compared to last year’s profit of 242.79 crores. The company also proposed to pay a dividend of rupees 88 crores to the Govt. of India as compared to rupees 60 crores last fiscal year 2012-13.
While addressing the media, N Shankar, Chairman and Managing Director of ECGC said that, “In spite of political instability in many countries like Afghanistan, Egypt, Iraq, Sudan, Syria, Turkey and Ukraine, the targets defined by the Ministry of Commerce & Industry have been achieved.”
He also said that “the gross premium this fiscal year was Rs 1304 crores as compared to Rs 1157 crores last year, which is a growth of 12.7%. The claims paid were Rs 898 crores as compared to Rs 548 crores last year. A back up towards these claims of approximate rupees 2957 crores has also been created”
ECGC, which is ‘iAAA’ rated by ICRA, provides export credit insurance to Indian exporters and banks, who offer credits to the exporters. There will be further expansion with 3 more new branches coming up in Ahmedabad, Kerala and Chennai.
The solvency margin stood at a healthy 11.02 as against the minimum solvency ratio of 1.5 as prescribed by insurance regulator Irda, Shankar said. The corporation has sought Rs 800 crore more capital during the 12th Plan period.