ECO Insurance Company

Basis: Memorandum of Understanding signed on 15 March, 1995 during the Third ECO Summit Meeting in Islamabad between Iran, Pakistan and Turkey.

Founding Shareholders: Iran, Pakistan, and Turkey

Purpose: To supplement the existing reinsurance services in the region, promote the growth of the national and underwriting and retention capacities, minimize the outflow of foreign exchange from the region, and support the economic development in the region.

Authorized capital: 30 million US dollars, divided into three thousand shares with par value of ten thousand US dollars each and shall be registered in Pak Rupees.

Headquarters: Will be in Karachi-Pakistan. The Company may establish liaison offices in other countries in accordance with the decision of Board of Directors.

Entry into Force: The Articles of Agreement shall come into force when signed by the founding shareholders. The full subscription of the share capital will be payable within thirty days following the day of entry into force of the Agreement.

Joining to the Agreement: Any insurance or reinsurance company or financial institution of any other ECO country may become a shareholder of the company subject to the commencement of the operations and in compliance with the related articles.

Possible date for Entry into Force: ECO Trade & Development Bank & ECO Reinsurance Company will simultaneously come into force. For both, response from Islamic Republic of Iran is awaited.