Saudi Export-Import Bank (Saudi Exim Bank) has entered into an agreement with the International Islamic Trade Finance Corporation (ITFC) to implement a $25 million financing line for Pakistan's Habib Bank Limited (HBL).
The deal aligns with the strategy to enhance non-oil exports and support small and medium-sized enterprises (SMEs) in Saudi Arabia.
The financing agreement, part of Saudi Arabia's 'SMEs Export Empowering Program,' aims to expand the export opportunities for small businesses within the kingdom. It also aims to attract new importers of Saudi goods to Pakistan, contributing to the growth of both economies.
As part of their collaboration, ITFC and Saudi Exim Bank are working to enhance the global competitiveness of Saudi non-oil exports and provide credit facilities to targeted financial institutions. The partnership is focused on fostering economic development by supporting SMEs and facilitating international trade.
Under the 'SMEs Export Empowering Program,' Saudi Arabia is actively promoting initiatives to empower small businesses and create opportunities for them in the global market. The financing agreement with HBL is a step towards achieving these goals and fostering economic growth.
Additionally, ITFC plays a crucial role in facilitating business matching opportunities for Saudi businesses, connecting them with potential partners in various countries and sectors. This collaborative effort aims to explore opportunities in sectors such as the pharmacy and food industries, enhancing the overall competitiveness of Saudi businesses.
This initiative builds on the memorandum of understanding (MoU) signed in 2022 between ITFC, Saudi Exim Bank, and the Small and Medium Enterprises General Authority (Monsha’at). The MoU outlines a comprehensive program to boost the export activities of SMEs, contributing to the diversification and expansion of the Saudi economy.
