Saudi Arabia has approved credit facilities worth more than $2.5 billion from the beginning of 2022 until the end of the third quarter in September to support export activities in various vital sectors.
The Saudi Export-Import Bank (Saudi EXIM) revealed that the share of requests for export credit insurance reached $1.5 billion, in addition to recommendations for export financing worth $933 million in vital activities such as fertilizers, petrochemicals, glass, plastics, iron, and steel.
EXIM announced credits worth more than $762 million during the second quarter of 2022, and financing approvals exceeded $189 million, in addition to export credit insurance worth $573 million, bringing the total credit facilities approved since the beginning of the year to about $2.2 billion benefitting entities working in the financing, fertilizers, petrochemicals, glass, plastics, and other various sectors.
According to the Bank's third-quarter performance bulletin, 37 credit applications have been approved, including 24 for financing and 13 for export credit insurance since the beginning of the year.
The Bank indicated that the credits support export deals to international markets in more than 60 countries worldwide, including the US, the UK, China, Sweden, India, France, Pakistan, and many countries in Asia, Africa, Europe, and South America.
These credits came as part of the Bank's efforts to provide more financing and insurance solutions to develop the export of national products and increase export opportunities for non-oil goods and services, as well as increase their competitiveness in regional and global markets, and enhance trade exchange between Saudi Arabia and its partners.
The Bank's strategy aims to enable Saudi non-oil exports to reach global markets by closing financing gaps and reducing export risks.
Last September, the Bank concluded a memorandum of understanding with the foreign branch of BOK International Bank (Bahrain branch), aimed at studying aspects of cooperation to enter into the provision of credit solutions that support Saudi non-oil exports, and per the Bank's orientation to establish local and international partnerships.
The agreement falls within the Bank's efforts to promote the development and diversification of Saudi exports and increase its competitiveness in foreign markets.
CEO of the Bank at the time, Saad al-Khalb, explained that the signing of the memorandum comes in line with EXIM Bank's continuous efforts to increase support for the export of Saudi non-oil services and products and to enhance cross-border trade.
Khalb added that EXIM seeks to build more effective partnerships with national and international financial institutions, with which the Bank works to provide credit solutions in line with the goals and aspirations of Vision 2030 to develop non-oil exports and build a sustainable, vibrant, and diversified economy.
