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The US is doubling, to $40bn, its commitment to provide reinsurance guarantees to ships willing to travel through the Strait of Hormuz with the addition of new insurance partners, including AIG and Berkshire Hathaway.The move announced on Friday is the latest US effort to ease worries over the vital waterway and to encourage traffic to resume, despite an effective Iranian blockade and continued hostilities in the five-week war.The US International Development Finance Corp last month announced a $20bn reinsurance program. On Friday, the agency said Travelers, Liberty Mutual Insurance, Berkshire Hathaway, AIG, Starr and CNA will join Chubb to provide an additional $20bn in reinsurance for the agency’s maritime facility.Friday’s announcement marks the first significant details the DFC has revealed publicly about its reinsurance program since the project’s original formation almost a month ago. The effective closure of the strait, which typically carries about a fifth of global oil and liquefied natural gas flows, has roiled markets and triggered a broad energy crisis.“Along with Chubb, these leading American insurers bring deep underwriting experience in marine and marine war coverage, strengthening our efforts to help restore confidence in maritime trade,” DFC Chief Executive Officer Ben Black said in a statement.Trump on Friday reiterated his frustration over the strait’s closure and the failure of allies to help the US reopen the waterway.“With a little more time, we can easily OPEN THE HORMUZ STRAIT, TAKE THE OIL, & MAKE A FORTUNE,” Trump said in a social media post. It wasn’t immediately clear what actions the president was considering.Shippers remain doubtful, though, of a wholesale return to the Strait of Hormuz even after Trump’s promise to protect ships and his primetime speech on Wednesday in which he repeated that the war will soon end. The key concern about traversing the sea route is that it puts the lives of crews at risk as Iran continues to threaten vessels with drone attacks, missiles and water mines.The DFC also said in the statement that the agency and insurance partners will determine which vessels are eligible for the reinsurance facility. To qualify, the DFC is requiring applicants to provide, among other details, the origin and destination country of the vessel; major beneficial owners of the ship and domicile; owner of the cargo and domicile of the owner; and information about the lenders financing the vessels.Restoring confidence to shippers willing to move through the Strait of Hormuz is one of the most pressing objectives of the US. Global energy prices have been mounting as nations have been starved of an essential oil supply line. India — the world’s third-largest oil user and a major buyer of gas — has been hit particularly hard by the crisis.In the US, gas prices have risen above $4 a gallon for the first time since 2022, further straining American consumers already facing affordability challenges.While doubling the reinsurance commitment expands financial guarantees, the program still lacks any promise of naval escorts that theoretically would provide protection for ships’ crews. And even then, it may not be enough to convince vessels to restart expeditions through the Strait.“Insurance rates will fall — and the willingness of commercial operators to insure and send cargoes through the Strait will rise — only after Iran’s military capabilities are degraded,” Bob McNally, president of Rapidan Energy Group, a Washington-based consultant firm, told Bloomberg News earlier this week. 

Indonesia received the bodies of three peacekeepers Saturday who were killed while on deployment in Lebanon and called for security guarantees for blue helmets a day after another three of its soldiers were injured.The soldiers' coffins, draped in the Indonesian flag, arrived at the international airport and were carried into a hall on the shoulders of uniformed comrades for a ceremony attended by President Prabowo Subianto.Family members of the men wept over the coffins, each fronted by a photograph of the dead soldier in a gold frame.Prabowo saluted each portrait and held the hands of grieving loved ones, some weeping unconsolably.Another three Indonesian peacekeepers were injured in Lebanon Friday, two seriously, officials said.Foreign Minister Sugiono told reporters after Saturday's ceremony that Indonesia wanted a thorough UN investigation."This is a peacekeeping mission. Incidents such as this should not happen," the minister, who like many Indonesians has only one name, told reporters at the airport."There must be a security guarantee for peacekeeping soldiers," he added.Peacekeeper Farizal Rhomadhon, 28, died when a projectile exploded on March 29 in southern Lebanon, where Israel and Hezbollah have been fighting since Lebanon was drawn into the Middle East war.A UN security source told AFP on condition of anonymity Tuesday that fire from an Israeli tank was responsible for that attack.A day later, two more Indonesian peacekeepers — 33-year-old Zulmi Aditya Iskandar and Muhammad Nur Ichwan, 26 — died after an explosion struck a Unifil logistics convoy, also in southern Lebanon.As Indonesia mourned its fallen soldiers, the UN Interim Force in Lebanon (Unifil) said three more peacekeepers were wounded in a blast at a UN facility near El Adeisse on Friday afternoon, and rushed to hospital.The UN Information Centre in Jakarta said the "origin of the explosion" was unknown but identified the injured soldiers as Indonesian."Repeated attacks or incidents of this kind are unacceptable," the Indonesian foreign ministry said in a statement.The government urged the UN Security Council "to immediately convene a meeting of troop-contributing countries to Unifil to conduct a review and take measures to enhance the protection of personnel serving with Unifil".The father of fallen soldier Zulmi Aditya Iskandar, said this week he was shocked that peacekeepers were losing their lives in the conflict."We were really sad and regretful, because this is a UN troop, a peacekeeping troop, not deployed for war," 60-year-old Iskandarudin told reporters at his house in West Java province.The military has promised financial support for the bereaved families.All three men are to be laid to rest on Sunday.After the latest attack that injured three more soldiers, Armed Forces Commander General Agus Subiyanto ordered Indonesian peacekeepers in Lebanon to enter bunkers and refrain from activities outside.The Indonesian National Armed Forces has said it will deploy more than 750 personnel to Lebanon next month as part of the scheduled Unifil peacekeeping troop rotation. 

US President Donald Trump praised Qatar's mediation efforts to end the war in the Gaza Strip and stressed that the ceasefire will hold. In a press statement, the US President said that the war in the Gaza Strip has ended and that numerous guarantees have been provided to ensure the ceasefire holds. President Trump explained that Hamas may release some of its prisoners earlier than the date stipulated in the agreement between the movement and Israel. He pointed out that the new administration in the Gaza Strip would begin its work very quickly. He also expressed his desire to visit the Strip. The US President will co-chair the Sharm El Sheikh Peace Summit in Egypt. The summit aims to end the war in the Gaza Strip and advance efforts to achieve peace and stability in the Middle East.

Legal Perspective To promote international trade, there is a great need for financial guarantees to support exports and imports. In this respect, the International Chamber of Commerce’s (ICC) “Uniform Rules for Demand Guarantees” (URDG 758) and the United Nations Convention on Independent Guarantees and Standby Letters of Credit (ISDGP) are both giving international guidelines for guarantees. The UN endorsed the “URDG 758” in 2011 to promote a kind of clarity, predictability, sustainability and great harmonisation in international trade. Both are relating to guarantees, one for "demand" guarantees whereas the other for "independent" guarantees. While the URDG 758 rules have been developed and published by the ICC with the intention to promote and to specify rules for "demand" guarantees, needed for international trade purposes. With this understanding in mind, we say that the UN Convention is intended as an international convention for "independent" guarantees and standby letters of credit. To explain more, we take the opportunity to highlight some features of the URDG and the UN Convention. The URDG 758 rules govern demand guarantees, which are forms of financial security used in international trade to ensure performance or payment. The current edition, URDG 758, came into force on 2010. The UN endorsed the URDG 758 in 2011 with the aim of harmonising international trade law and at the same time to remove all legal obstacles to enhance international trade. The URDG 758 mainly aims to provide clarity, precision, and predictability in demand guarantee practices. Regarding the ISDGP, we can say that, this is an international convention created by the UN Commission on International Trade Law (UNCITRAL). The Convention, provides a legal framework for independent guarantees and standby letters of credit, which are also common in international trade frequent transactions. The UN Convention and the URDG often cover similar areas and are sometimes used in conjunction or in comparison to one another; the two resemble the two sides of the coin. Harmonisation is taken as a relationship and significance to both, the URDG and the UN Convention enable them to work towards harmonising trade practices and laws related to guarantees in their different shapes. The UN's endorsement of the URDG 758 signifies the clear support of the international community for these rules and their role in modernising trade. With reference to application, it is left for the parties to a guarantee who can choose which rules to apply. For the URDG, important to say, the guarantee itself expressly indicates it is subject to the URDG and for them to be applicable. The United Nations Convention on Independent Guarantees and Standby Letters as UCP and URDG are issued with the aim of developing different international trade relations. The UNICITRAL and the UN endorses ICC Demand Guarantee Rules the “URDG 758, and this endorsement reinforces the ICC mandate of removing legal different obstacles to international trade by actively and progressively modernising procedures and enhancing relative laws and regulations. International trade, deserves all support to promote international ties and peaceful relations between all parts of the world. An “independent” guarantee, like a “demand guarantee”, creates a primary direct obligation for the guarantor, separate from the underlying contract and requires payment upon presentation of a demand. The key difference is that a demand guarantee is a specific type of independent guarantee, where the payment is triggered by a simple written demand by the beneficiary, regardless of the underlying contract's performance. In contrast, other independent guarantees may have more specific conditions for payment that are tied to the main agreement. Dr AbdelGadir Warsama Ghalib is a corporate legal counsel. Email: [email protected]

Russian President Vladimir Putin said on Friday that any Western troops deployed to Ukraine would be legitimate targets for Moscow to attack.Putin was speaking a day after French President Emmanuel Macron said 26 countries had pledged to provide postwar security guarantees to Ukraine, including an international force on land, sea and in the air.