Cooperation Agreement between Saudi EXIM Bank and Banque Saudi Fransi to Support Small and Medium Enterprises in Exporting
The Saudi EXIM Bank has announced the signing of a cooperation agreement with the Banque Saudi Fransi, wherein the Saudi EXIM Bank will issue guarantees in favor of the Banque Saudi Fransi to enable small and medium-sized enterprises (SMEs) to obtain the necessary financing for export transactions.
Through this agreement, the Saudi EXIM Bank aims to expand its partnerships within the private sector to support SMEs in enhancing their capabilities in the field of exports. Additionally, the agreement will enhance the involvement of commercial banks in financing export operations, providing more options for export transaction financing.
The agreement was signed by Engineer Saad bin Abdulaziz Al-Khalb, the CEO of the Saudi EXIM Bank, and Badr Hamad Al-Sulom, the CEO of the Banque Saudi Fransi.
According to the terms of the agreement, the Saudi EXIM Bank will guarantee up to 80% of financing for small and medium-sized companies to export Saudi products and services. The maximum limit for each guarantee can reach 30 million Saudi Riyals. It’s worth noting that this agreement contributes to expanding the beneficiary base of the Saudi Export-Import Bank from the segment of SMEs, supporting their export expansion plans and facilitating access to necessary funding.
Engineer Saad Al-Khalb commented on this significant step, stating: “This agreement represents a continuation of our efforts to enhance non-oil Saudi exports and increase the competitiveness of Saudi goods and services globally. It also aligns with the bank’s strategy to strengthen cooperation with the private sector and increase funding for small and medium-sized enterprises by providing guarantees to commercial banks.”
He added that the Saudi EXIM Bank will continue its efforts to achieve the goals of Vision 2030 in the Kingdom, aiming to raise the share of non-oil exports to 50% of the Gross Domestic Product by 2030 and achieve a diversified and sustainable national economy.
Badr Al-Salloom stated, “The cooperation between the Banque Saudi Fransi and the Saudi EXIM Bank contributes to supporting emerging sectors that form a fundamental pillar in diversifying our national economy.” He added that the agreement will contribute to increasing the national Gross Domestic Product, opening new horizons for non-oil Saudi products and services, and promoting better growth in the private sector.
