24/03/2012 (Bernama) - Export-Import Bank of Malaysia Bhd (Exim Bank) plans to introduce domestic trade insurance to cover businesses that are traded in Malaysia, by the middle of next year, said managing director/Chief Executive Officer Datuk Adissadikin Ali.

"Things are in progress. Overseas, domestic trade is insurable. We don't have that in Malaysia," he told reporters after the launch of Exim Bank's two takaful products here.

Adissadikin also said that the bank's annual claims had not exceeded three per cent and that its worst experience involved a case related to the sanction on Iran. "The worst experience we have had was something that had to do with Iran. The Malaysian palm oil sellers were paid but the payment was stuck somewhere in the middle because there was sanction on Iran. It was stuck for a while and we eventually managed to get the money...We paid the claims to the Malaysian sellers," he said.

He also said that the sanction on Iran is hurting the bank's business as commodity, especially palm oil and rubber, make up the biggest sector which the bank covers.