RIYADH: Saudi products are poised to gain improved access to the global market, thanks to a $25 million credit facility agreement inked between the Emirati chemical distributor Petrochem Middle East and the Saudi EXIM Bank.
The deal is designed to strengthen Saudi exports and increase their competitiveness in global markets, according to an official statement.
This aligns with the bank’s mission to expand the global presence of the Kingdom’s exports by addressing financing gaps and business risks.
Under the terms of the agreement, the bank will provide credit facilities to Petrochem, effectively doubling the opportunities for Saudi products to enter new markets, reported the Saudi Press Agency.
“Considering export as one of the most important engines of economic growth in the Kingdom, and an important element in achieving the goals of the Kingdom’s Vision 2030, the export system in the Kingdom is witnessing an unprecedented movement due to the cooperation of the various government institutions concerned and the interaction of the private sector, in addition to the quality of the products,” said Naif Al-Shammari, deputy CEO at the bank.
Al-Shammari further emphasized that this agreement coincides with a period of rapid growth and a strong presence of Saudi chemical products in international markets.
He also noted that the Emirati company is the largest chemical distributor in the Middle East and Africa, possessing extensive experience in both regional and global markets.
Yogesh Mehta, CEO of Petrochem Middle East, highlighted that Saudi Arabia holds strong appeal for businesses and visitors, resulting in the emergence of numerous opportunities. This has positioned it as one of the fastest-growing regions in the Middle East.
He emphasized that the company sees several expansion opportunities, both in terms of imports and exports. The collaboration between the two entities is expected to play a significant role in realizing their shared ambitions.
In a similar agreement in June, the National Bank of Bahrain and Saudi EXIM Bank joined forces to offer competitive financing to businesses engaged in importing and exporting goods.
Under this arrangement, NBB provided competitive financing rates to Bahraini companies importing goods from Saudi Arabia, while NBB’s Saudi clients gained access to guarantees, credit insurance, and more for exporting their products.
The collaboration between Saudi EXIM Bank and Petrochem signifies a significant step in boosting Saudi exports and strengthening their global presence, aligning with the Kingdom’s Vision 2030 objectives.
