Follow-ups -eshrag News:
JEDDAH: In a bid to encourage non-oil exports in the country, Saudi Export-Import Bank, also known as Saudi EXIM, has planned to boost its annual financing to SR26 billion ($7 billion) by 2026.
As part of its strategic five-year plan designed to run from 2022 to 2026, the bank will facilitate Saudi Arabia’s non-oil exports to reach global markets by closing financing gaps and reducing export risks.
“Having a strategic direction is essential to ensure a comprehensive plan to reach our objectives in supporting Saudi exports,” Saad Alkhalb, CEO of Saudi EXIM, told Arab News.
The strategy focuses on key performance indicators that will identify process gaps that can affect compliance and measure the progress of export companies.
It will develop an economic impact model that will include service development policies, local and international outreach programs, cooperation framework for commercial banks and other financial institutions.
According to Akhalb, the industrial sector remains the most important beneficiary under the strategy, with industries such as steel, petrochemicals, and plastics requiring a lot of financing.
“We are already seeing the impact because we have been applying it on a short-term basis. Now we have a long-term plan until 2026,” he added.
The bank recently signed a cooperation agreement with UK Export Finance to help the UK and Saudi businesses secure export contracts.
The agreement provides a general framework that will enable the two agencies to combine their financial support to help the UK and Saudi businesses secure international deals.
The partnership will support the exports from the Kingdom by opening doors for suppliers from the region to contribute to international projects.
“Saudi Arabia is diversifying its exports capability intensely as part of Vision 2030 strategy. The two countries are already working closely together to strengthen trade ties to support the export growth,” said Akhalb.
Saudi EXIM also approved loans worth over SR5.5 billion during the first quarter of 2022 to boost Saudi exports and help diversify the national economy.
Established in Feb. 2020, the bank provides export financing, guarantees, credit insurance and other services to bolster confidence in foraying into new markets.
Noting that the news was copied from another site and all rights reserved to the original source.