Etihad Credit Insurance (ECI), the UAE’s federal export credit agency, has partnered with its Dutch counterpart Atradius Dutch State Business (DSB) to bolster trade relations between the Emirates and the Netherlands.
The agreement aims to boost economic co-operation through joint projects that promote the availability of and access to “bespoke trade financing solutions” for businesses, the entities said in a joint statement on Friday.
The agencies agreed to accelerate growth opportunities in sectors including agriculture, construction, steel, clean energy and green projects. The pact also intends to facilitate halal trade through the ECI’s Sharia-compliant finance solutions, while supporting the growth of small and medium enterprises.
“The Netherlands has been one of the UAE’s key strategic partners for half a century … this agreement between our export credit agencies will provide enormous benefits to businesses in both countries with innovative trade credit and project finance solutions,” said Dr Thani Al Zeyoudi, the UAE’s Minister of State for Foreign Trade and deputy chairman of ECI’s board of directors.
Established in 2018, ECI provides export guarantees and trade insurance for UAE companies to minimise 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 per cent of the Netherlands’ exports to the GCC countries. The trade between the two countries has thrived in recent years, with total UAE investment flows into the Netherlands amounting to about $750 million between 2003 and 2019, according to official data.
Earlier this week, the Emirates also partnered with the European country to boost research on hydrogen energy.
“We will help them [Atradius DSB] expand on an international scale with concerted efforts, leveraging various bespoke credit insurance, project financing and credit insurance solutions,” ECI’s chief executive Massimo Falcioni said.
The ECI and Atradius DSB agreed to organise workshops, events and business-to-business meetings to foster economic co-operation and extend trade financing and investment support.
The agreement will also boost the UAE’s efforts to diversify its non-oil trade. In 2020, the non-oil foreign trade between the Emirates and the Netherlands reached more than Dh11 billion ($3bn), data from UAE Ministry of Economy showed.
“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,” said Irene Visser, head of strategy and international relations at Atradius DSB.
“We already see concrete opportunities in the fields of renewable energy, the circular economy, water and agri food.”
