Business Confidence Index Q4.23 Published

We see renewed demand for export credit insurance and expect a strong end to the year. Insurers are seeing increasing claims as high interest rates and higher input costs elevate insolvencies.

Members observed a surge in demand for short-term trade credit insurance and signal a positive outlook for the final quarter of the year as exporters and banks exercise added caution. After a series of contracting quarters, demand for investment insurance with longer tenors rebounded.

Emerging claims for short-term cover accelerated at an increasing rate, driven by high interest rates and inflationary cost pressures eroding buyers’ cash reserves, particularly in developed economies. Members anticipate an upward trend in SME claims, owing to their heightened susceptibility to prevailing macroeconomic conditions.

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