The UAE federal export credit company, Etihad Credit Insurance (ECI) has entered into a partnership with the state-backed export credit agency of the Netherlands, Atradius Dutch State Business (DSB) to enhance the trade relations between the countries.
The agreement also aims to boost economic relations and collaboration between the two countries through joint projects that promote the availability and access to bespoke trade financing solutions for businesses.
The agencies have agreed to accelerate growth opportunities in sectors including agriculture, construction, steel, clean energy and green projects. The partnership also seeks to facilitate stronger halal trade through ECI’s Sharia-compliant finance solutions, as well as drive further economic development by supporting the growth of small and medium-sized enterprises (SMEs) and mid-caps.
Commenting on the agreement, Dr. Thani Al Zeyoudi, UAE Minister of State for Foreign Trade and deputy chairman of ECI’s board of directors, said, “The Netherlands has been one of UAE’s key strategic partners for half a century, and this agreement between our export credit agencies will provide enormous benefits to businesses in both countries with innovative trade credit and project finance solutions.”
Established in 2018, ECI offers export guarantees and trade insurance for UAE companies to minimize payment risks associated with exporting. It has partnerships with local and international banks that offer loans to UAE companies to fund exports to overseas buyers, with ECI providing insurance.
The UAE, which is home to nearly 7,000 Dutch nationals, represents 40 percent of the Netherlands’ exports to the GCC countries. In 2020, despite the impact of the COVID-19 pandemic on global markets, data from the UAE Ministry of Economy show that non-oil foreign trade between the two nations reached more than $2.99 billion.
“Our new alliance with Atradius DSB will create a marked shift in the competitiveness of businesses in both the United Arab Emirates and in the Netherlands. We will help them expand on an international scale with concerted efforts, leveraging various bespoke credit insurance, project financing, and credit insurance solutions, affording detailed market insights, and facilitating ease of access to emerging markets.”
The ECI and Atradius DSB have also agreed to organize workshops, events and business-to-business meetings to foster economic cooperation and extend trade financing and investment support.
Meanwhile, Ms. Irene Visser, Head of Strategy and International Relations, Atradius DSB, said, “This partnership marks an important step towards stronger trade relations between Dutch and UAE-based growth sectors. We are glad to support the export and import of high-value capital goods and make it easier for Dutch and UAE-based companies to access much-needed technology. We already see concrete opportunities in the fields of renewable energy, the circular economy, water, and agri-food.”