National Bank of Ras Al Khaimah joined forces with Etihad Credit Insurance, the UAE’s federal export credit agency, to boost financing for small and medium enterprises through the UAE Trade Finance Gateway.
The gateway, launched as part of the UAE’s Golden Jubilee, is a digitised platform that helps exporters and re-exporters based in the country to obtain finance easily and expand their businesses globally.
“We are committed to support the UAE’s vision for a sustainable economy to boost the nation’s position as a global business hub,” said Dhiraj Kunwar, managing director of business banking at RAKBank.
“We are confident that a financing marketplace backed by ECI’s strong insurance coverage will help RAKBank business banking customers, especially exporters, benefit from a seamless end-to-end digitised process.”
Led by ECI and backed by the UAE Ministry of Economy, the unified gateway aims to provide a smooth relationship between buyers, sellers, the lending bank and ECI in an end-to-end digitised process.
Through this scheme, the federal government’s trade credit insurance coverage will enable businesses to obtain secured loans from RAKBank, powered by Crediti Fintech's platform, Monimove.
“This unique platform, developed to reinforce the country’s non‐oil export sector, brings together all the stakeholders in a unified platform making it easier for businesses to gain access to trade finance,” said Massimo Falcioni, ECI’s chief executive.
“We are pleased to join hands with RAKBank and Crediti Fintech as part of our goal to enhance the global competitiveness of the UAE business community in line with the country’s vision for the next 50 years,” Mr Falcioni said.
ECI has been developing a strong network of banks to support this initiative. RAKBank is the third commercial lender to join this initiative, after First Abu Dhabi Bank and Emirates NBD.
ECI backs UAE manufacturers by facilitating access to trade finance, which boosts their exports, enhances their competitiveness in international markets and reduces the cost and timeline of obtaining funds.
There are several hurdles that businesses encounter in their quest to succeed in the global marketplace, said Hashim Al Hussaini, Crediti chief executive and Monimove co-founder.
“They need to be protected with adequate trade credit insurance, and the UAE Trade Finance Gateway is a testament to the UAE government’s foresightedness to achieve this.”