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tate-owned export agency Asuransi Ekspor Indonesia (ASEI) set a deal with state-owned Bank Mandiri on Thursday, which will allow the agency to offer a lower rate of credit risk to exporters.

The protection would go to non-traditional export markets, particularly the Middle East, Africa and South America, ASEI president director Zaafril Razief Amir said after signing the memorandum of understanding with his Bank Mandiri counterpart on the sidelines of the Trade Expo Indonesia in Kema-yoran, Jakarta.

“Banks usually hesitate to provide credit for exporters who send their goods to new markets. With this facility, we’ll give more confidence to Bank Mandiri to distribute higher loans to exporters to the countries,” he said.