Etihad Credit Insurance (ECI), the UAE Federal credit insurance company, has signed a reinsurance agreement with the Arab Investment & Export Credit Guarantee Corporation (Dhaman), a leading multilateral political and export credit insurance provider, to support the growth and expansion of the UAE businesses.
This agreement will further enhance the inter-Arab trade and UAE exports globally, in line with the country’s non-oil diversification strategy and vision 2021.
ECI and Dhaman will collaborate to enhance economic growth in the Mena region, through an exchange of research and knowledge, by offering technical assistance to Arab FDI promotion agencies as well as cooperation with Arab and International organisations involved in investment promotion.
According to CEIC Data, a team of expert economists and analysts providing the most expansive and accurate data insights into more than 200 economies, the UAE’s Foreign Direct Investment (FDI) increased by $10.4 billion in December 2018, compared to an increase of $10.3 Billion in 2017. These positive statistics present an opportunity for ECI to strengthen the support it extends to local businesses by facilitating access to funding for business expansions in global markets.
Under this partnership, ECI will support international business expansion plans of UAE-based firms by covering higher risk percentage. This will strengthen and enable the businesses to explore wider opportunities thus broadening their regional and global footprint.
The reinsurance agreement ceremony was signed by Massimo Falcioni, chief executive officer at ECI, and Fahad Rashid Al-Ibrahim, director general at Dhaman, in the presence of Engineer Saed Alawadi, chief executive officer of Dubai Export Development Corporation, Board Member and chairman of the Executive Committee at ECI and other senior managers and executives from the respective organisations.
The agreement marks a solid review and follows up to the MoU signed between the two organisations in 2018. This partnership takes a crucial step in outlining a more comprehensive framework shared between the two institutions that will leave a strong and lasting impact on the trading sector and export community in the Arab world.
Falcioni said: “We are pleased to collaborate with Dhaman and we are certain that this agreement will enhance the trade expansion across borders. This agreement supports ECI’s substantial role in the transformation of the UAE’s economy by driving the non-oil sectors and stimulating advancement in the various trade sectors. It further allows ECI to cover more risks that will help UAE-based businesses to grow and compete in the international markets.”
Al-Ibrahim said: “The reinsurance agreement signed between ECI and Dhaman is a testament to the alliance’s success. We believe that increasing the insurance capacity and sharing the risks can contribute to the development and progress of Arab exports worldwide. By working closely with ECI, we endeavor to fine tune our credit risk insurance solutions that will help local businesses improve their global competitiveness.” - TradeArabia News Service