ABU DHABI - The Abu Dhabi Export Bureau was launched in Abu Dhabi yesterday to support the national economy and enhance its competitiveness by providing financing solutions in the form of financing and guarantees to foreign importers from foreign public and private companies and corporations wishing to import UAE goods and services.
HH Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs and Chairman of the Abu Dhabi Fund for Development (ADFD), said: “Abu Dhabi Exports opens up promising markets for national exports and enhances its ability to exist in international markets.
HH Sheikh Abdullah bin Zayed Al Nahyan, Minister of Foreign Affairs and International Cooperation, who announced the launch of the office, said that the new office is a translation of the implementation of economic diversification policies.
Finances and guarantees
More specifically, under the patronage of HH Sheikh Mansour bin Zayed Al Nahyan, Deputy Prime Minister and Minister of Presidential Affairs and Chairman of the Abu Dhabi Fund for Development (ADFD), HH Sheikh Abdullah bin Zayed Al Nahyan, Minister of Foreign Affairs and International Cooperation, announced the launch of the Abu Dhabi Export For development. The launch of the office aims at supporting the national economy and enhancing its competitiveness by providing financing solutions such as providing financing and guarantees to the foreign importer of foreign institutions and companies from the public and private sectors who want to import UAE goods and services, which contributes to increase the national export rates. New markets.
This came during the ceremony held at the Emirates Palace in Abu Dhabi, yesterday, in the presence of a number of officials, businessmen and businessmen and investors from various emirates of the UAE.
His Highness Sheikh Mansour bin Zayed Al Nahyan, on this occasion, said that the launch of the Abu Dhabi Export Bureau comes within the vision of the wise leadership of His Highness Sheikh Khalifa bin Zayed Al Nahyan, President of the UAE, and the directives of His Highness Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince. Abu Dhabi Deputy Supreme Commander of the UAE Armed Forces, to achieve economic diversification, which is a firm pillar of the economic policy of the State.
He added that the Abu Dhabi Export Bureau will open new and promising markets for national exports and enhance its ability to exist in international markets.
He pointed out that the UAE has achieved many important achievements in the past 10 years at the level of the national economy, where the country occupies the first ranks among many global economic indicators, which requires studying the opportunities available to support economic sectors, increase the rates of national exports, and open new outlets To maintain the distinguished economic status enjoyed by the State.
For his part, His Highness Sheikh Abdullah bin Zayed Al Nahyan, said that the launch of «Abu Dhabi Office of Exports» is a qualitative leap in the implementation of economic diversification policies and support the national economy, and reduce dependence on oil resources as a source of income.
He added that the support of national exports, which is keen on our wise leadership, contributes to the achievement of sustainable development in the UAE, and opens a wide prospects for exports, especially in the export sectors based on knowledge, innovation and technology.
Mohammed Saif Al Suwaidi, Director General of the Abu Dhabi Fund for Development (ADFD), stressed the importance of launching the Abu Dhabi Export Bureau at this stage in which the national economy is witnessing significant growth, pointing out that the office will provide financial solutions to encourage national companies to obtain strong export opportunities and enhance Its ability to enter international markets, in line with many ambitious initiatives and plans, such as the UAE Vision 2021, the Abu Dhabi Economic Vision 2030, and the UAE Centennial 2071, are aimed at developing the national economy and achieving a policy of economic diversification.
He added that the new office will work within the best global practices to expand the base of export goods and services, through the provision of financing and guarantee facilities, to increase rates of national exports and open new markets for them.
Objectives of the Office
Abu Dhabi Fund for Development (ADFD) aims to build a diversified and sustainable economy by financing national non-oil exports, growing the volume of national oil exports and enhancing its competitiveness to access world markets, Abu Dhabi Fund for Development (ADFD) Director General Mohammed Saif Al Suwaidi said.
Al-Suwaidi added that the office aims to open new markets for national exports, depending on the Fund's relationship with many countries, and to protect national companies from the risks of non-payment due to political and commercial risks.
The goods and services financed by the Office are consumer / capital goods supply contracts, infrastructure projects, construction projects and advisory services.
Conditions and types of financing
Mohammed Saif Al Suwaidi, Director General of Abu Dhabi Fund for Development (ADFD), has set a set of conditions for corporate finance, so that the commodity or service must be of UAE origin, in addition to meeting the creditworthiness requirements. Financing, risk and nature of each operation, while the currency used in the program is UAE Dirham or US Dollar.
Al-Suwaidi explained that the beneficiaries of the services of the office are external buyers, state governments and government institutions, as well as banks and financial institutions, domestic and foreign, noting that there are three types of external buyer financing, the first is indirect financing (loans), through opening a credit line with Domestic financing institutions in importing countries to lend to external buyers or importers to enable them to purchase goods or services from an Emirati source.
He added that indirect financing is a credit facility, with fixed or variable interest rates, with a minimum of $ 100,000, while the loan term is up to five years.
As for the second type of financing, Al Suwaidi stated that it is direct financing (loans), whereby a direct loan is offered to the foreign / importer buyer (government or private) to purchase goods or services from an Emirati source, which is a decreasing loan, with a minimum of three. The value of the finance contract does not exceed 90% of the value of the export contract, through the currency of the dirham or the dollar, with a loan period of up to 15 years.
As for the third type, Suwaidi stated that it is called direct financing (collateral), that is, a repayment guarantee for a financial institution to provide a loan to an external buyer / importer (government / private) to buy goods or services from an Emirati source. With a value not exceeding 90% of the value of the export contract, the currency is the dirham or dollar.
Al-Suwaidi pointed out that the guarantee commission for the third type of financing instruments is a percentage of the value of the pre-paid guarantee, with a minimum of three million dollars, for a period of up to 15 years.