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UAE extends Dh420m worth of trade credit support to SMEs in 2020

In April, ECI rolled out measures to support exporters affected by the coronavirus pandemic, saying it would help businesses facing payment and supply chain disruptions with export credit insurance and additional funding. ECI, set up in 2018, provides credit guarantees and insurance to mitigate the political and commercial risks of exporting by offering financing or refinancing for export transactions on behalf of the UAE government. The entity has partnerships with local and international banks that can offer loans to UAE companies to fund exports to overseas buyers, with ECI providing insurance. Small and medium enterprises are an important part of the UAE’s economy and their contribution to the country’s gross domestic product was estimated at 53 per cent in 2019, up from about 49 per cent in 2018, ECI said, quoting data from the Federal Competitiveness and Statistics Authority.

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