ABU DHABI – The Abu Dhabi Export Office (ADEX), the export finance arm of the Abu Dhabi Fund for Development (ADFD), has signed a $36.7 million line of credit agreement AED ($10 million) with the National Bank of Iraq, part of the Capital Bank group.
The agreement aims to strengthen economic cooperation between the UAE and Iraq, which will strengthen bilateral relations and encourage Emirati companies to export their products to Iraq.
The agreement allows ADEX to open a line of credit with the National Bank of Iraq for the purpose of lending again to importers in Iraq to acquire goods and services from an Emirati exporter.
This decision reinforces ADEX’s efforts to contribute to the economies of both countries and support the UAE’s strategy for economic diversification.
The funding agreement was signed virtually by Khalil Al Mansouri, Acting Managing Director of ADEX, and Ayman Abu Dhaim, CEO of the National Bank of Iraq.
The ceremony was attended by Mohamed Saif Al Suwaidi, Director General of ADFD and Chairman of the ADEX Export Executive Committee, and other senior officials from both parties.
Commenting on the agreement, Al Suwaidi said, “The agreement is part of ADEX’s efforts to strengthen strategic partnerships with regional and international banks, so that it can create opportunities to lend to importers to buy our products and services more easily. This will increase the competitiveness of national exports. More importantly, the agreement will allow us to realize our common interest of economic development of both countries.
Abu Dhaim said the agreement represents an important step towards strengthening economic cooperation between the UAE and Iraq. “Through trade facilitation, both countries will benefit economically, which is what both nations aspire to. The agreement will allow Iraqi companies to benefit from the competitive financing provided by ADEX, while helping Emirati exporters to market their products in a safe and secure manner,” he added.
The Abu Dhabi Export Office aligns with the UAE’s strategy to diversify the economy by increasing the competitiveness of the export sector, protecting exporters from financial risks resulting from delays or non-payment and by facilitating imports of Emirati goods and services through competitive financing.