Saudi EXIM bank allocates $146m to SMEs

JEDDAH, Apr 25 (Arab News): The Saudi Export-Import Bank allocated around SR250 million ($66.6 million) for small and medium enterprises in the first quarter of 2022 - and plans to earmark another SR300 million by the end of the year.
"About 42 per cent of our client base currently are SMEs. From the bank's inception to the end of 2021, we approved over SR1.2 billion for them," Saad Alkhalb, CEO of Saudi EXIM Bank, told Arab News.
The bank signed a tripartite memorandum of understanding on April 19 with Monsha'at and the International Islamic Trade Finance Corp. to launch a programme to support SMEs exports.
"With this MoU, we expect to release SR300 million in the latter part of 2022," he said on the sidelines of the MoU signing event. Saad Alkhalb, CEO of Saudi EXIM Bank (supplied)
Established in Feb. 2020, the Saudi EXIM Bank provides export financing, guarantees, credit insurance and other services to bolster confidence in foraying into new markets. The institution also aims to minimize risks and add value to the Kingdom's international trade.
The bank will host a workshop for SMEs during the third quarter of this year, where it will identify suitable companies and accelerate their export potential.
"The criteria is their products. If they have the right products, they will be encouraged to export and grow," added Alkhalb.
The criteria is their products. If they have the right products, they will be encouraged to export and grow.
The MoU also aims to accelerate digital transformation among the targeted SMEs to boost their export capabilities and provide indirect funding by offering insurance, products and financial guarantees.