RIYADH — The Saudi Export-Import (Saudi EXIM) Bank has concluded reinsurance agreements worth over $101 million (about SR380 million) with the Arab Investment and Export Credit Guarantee Corporation (DHAMAN).

The agreements were signed by the CEO of Saudi EXIM Bank, Eng. Saad Al-Khalb, and Director General of DHAMAN Abdullah Ahmed Al-Sabeeh.

The agreements are part of the bank's efforts to provide financing and insurance products to Saudi exporters and increase the competitiveness of Saudi products in foreign markets.

The agreements aim to provide export credit guarantee products to a larger base of beneficiaries and support Saudi banks’ efforts to provide more credit facilities to facilitate the export of Saudi non-oil products. They also enhance the ability of the banks to consolidate letters of credit received from foreign banks for the benefit of Saudi exporters.

Speaking at the signing ceremony, Eng. Al-Khalb explained that the agreement with DHAMAN comes as part of a series of agreements concluded by the bank. He said they aim to enhance cooperation with financial and credit expertise consultants and build partnerships with specialized institutions that support the various non-oil sectors by providing the best financing and insurance products.

He added that the agreements also seek to establish new industries that meet the local market’s needs and provide high-quality and competitive products to the foreign markets.

Eng. Al-Khalb said the latest agreements were a major step towards enhancing the exports of Saudi non-oil products and services, in light of DHAMAN’s position as a major player in the region’s investment and export credit guarantee fields.

For his part, Abdullah Ahmed Al-Sabeeh expressed his happiness with the agreements, and praised Saudi EXIM Bank’s role in providing support to local exporters and international importers.

He noted that the agreements allow the utilization of the financial solvency owned by the institution and its distinguished rating by Standard & Poor’s at AA-, which enables it to build capacity Insurance for Arab national export credit insurance agencies through various reinsurance agreements, meeting the aspirations of financial institutions in member states and opening new markets for exporters in the Kingdom and Arab countries.

The Arab Investment and Export Credit Guarantee Corporation is a multilateral institution for insurance against commercial and political risks. Dhaman was established in 1974 and is headquartered in the State of Kuwait. Its membership includes all Arab countries and four joint Arab financial institutions. Its mission is to facilitate the flow of foreign direct investment to Arab member states and to support Arab exports and imports by providing specialized insurance services. — SPA