ADGM and Adex strike new partnership to boost the UAE's export market
07 Jun 2020
The Abu Dhabi Global Market, the capital’s international financial hub, and the Abu Dhabi Exports Office on Sunday announced a new set of initiatives to boost the UAE’s export sector as global markets reopen amid the Covid-19 pandemic.
The two entities will offer loans to ADGM-related companies that are abroad for the procurement of goods and services from the UAE.
They will also offer lines of credit to banks with representative offices registered at the financial centre.
“Adex can bring immediate value and impact for ADGM and its member companies to expand their export businesses as the UAE and global markets continue to open up," said Saeed Al Dhaheri, acting director general of Adex.
"Just as important is the long-term impact our organisations can make together driving the expansion of the Abu Dhabi export economy.”
Global trade has been heavily affected by government-imposed movement restrictions to help curb the spread of Covid-19. The World Trade Organisation said global trade would fall between 13 per cent and 32 per cent in 2020, with all regions facing double-digit declines.
Adex was set up last year by the Abu Dhabi Fund for Development to help drive international trade by providing loans and guarantees to overseas buyers seeking to import goods and services from the UAE.
“Serving as the Mena region’s epicentre of financial activity and investment, Abu Dhabi is located at the fore of the exports industry and we are keen to leverage the emirate’s unique position to achieve our shared objectives,” Juma Al Hameli, senior executive director of strategy and business development at ADGM, said.
Adex will also offer facilities to buyers of ADGM-registered companies with local offices to support exports from the UAE.
The two authorities agreed to promote the efforts undertaken by the other, including the introduction of products, services and initiatives.
“Working together, we can explore a wide range of potential innovations in product and service initiatives that can have a sustainable impact on export growth across the emirate and the UAE,” Mr Al Dhaheri said.
Adex is also working with Etihad Credit Insurance to offer a range of financial products to help UAE companies increase exports to other markets and ease financing challenges amid Covid-19.
The UAE has taken a number steps to support local companies as they adjust to a global economy that is gradually opening up after weeks of restrictions.
Last month, Abu Dhabi introduced an initiative to boost exports from the emirate to 60 target markets worldwide in an effort to expand its foreign trade.
The new digital platform, Abu Dhabi Export Gateway, offers “an integrated approach” to export at least 100 local products from 10 different sectors, the Abu Dhabi Department of Economic Development said in May.
Source: The National