The campus is set to become the largest dedicated hub for AI and technology companies in the Middle East and North Africa
uae10 hours ago
Emirates Development Bank (EDB), a key financial enabler of the country’s economic diversification and industrial transformation agenda, has signed a Memorandum of Understanding (MoU) with Mashreq Bank, one of the leading financial institutions in the UAE, to provide Credit Guarantee programmes for SMEs in the country.
Under the agreement, EBD will provide credit guarantees and co-lending programmes to Mashreq Bank’s SME customers, to support with expenses towards activities such as the purchase of equipment and fixtures, construction of work premises, business expansion, purchase of inventory, supplies and raw materials as well as general financing needs for payments such as salaries or rent.
Within the scheme, Mashreq will offer a mix of Capex as well as working capital facilities of up to Dh10million to SME customers, of which 50 per cent of the facility amount will be guaranteed or co-lent by EDB. Additionally, the credit guarantee program also aims to support UAE citizens in their startup journey by offering financing of up to Dh1million, wherein 60 per cent is guaranteed or co-lent by EDB.
The MoU was signed by Ahmed Mohamed Al Naqbi, chief executive officer of EDB, and Ahmed Abdelaal, Group CEO of Mashreq Bank.
Al Naqbi said: “SMEs are the backbone of UAE’s economy and the government has placed considerable emphasis on developing the SME ecosystem and boosting their contribution to UAE’s non-oil GDP. Our partnership with Mashreq Bank will help facilitate financing through credit guarantee and co-lending options to SMEs and allow greater operational flexibility to the entities. This is part of recently announced EDB’s strategy to enable UAE’s economic diversification and provide financing support to SMEs operating in key sectors.”
The MoU is part of EDB’s focus to enhance the contribution of SMEs to the country’s GDP. The partnership will focus on providing strategic financing solutions to SMEs – one of the economic pillars of the UAE. The MoU is aligned with EDB’s recently-unveiled strategy, offering direct and indirect lending for SMEs (Supply Chain, Project and Long-term Finance), an investment arm for startups and SMEs (accelerator, equity finance, business growth fund) as well as business advisory services for entrepreneurs, startups and small companies (coaching, consulting, mentoring, market research).
Abdelaal said: “SMEs represent more than 94 per cent of companies in the UAE, employing about 86 per cent of the country’s private sector workforce, and generating 52 per cent of the non-oil GDP. Mashreq is delighted to partner with Emirates Development Bank on this initiative, thus ensuring that the UAE’s key value chain drivers; its job-creating SMEs — are provided with better access to financing to meet their operational needs. Supporting businesses has never been as critical as it is now, and we remain focused on providing them with the tools to restructure debt, manage their working capital requirements, and leverage the increasingly dynamic digital eco-system.” — business@khaleejtimes.com
The campus is set to become the largest dedicated hub for AI and technology companies in the Middle East and North Africa
uae10 hours ago
Dravid's tenure comes to an end after the T20 World Cup 2024 in the USA and West Indies
sports10 hours ago
Stand-in skipper Jitesh believes the absence of key England players will not affect his side's morale on Sunday
sports11 hours ago
Netanyahu came under personal attack from Defence Minister Yoav Gallant for failing to rule out an Israeli government in Gaza after the war
world11 hours ago
The fund is designed to finance the production of artistic and creative works in film, music, performances, and video games
uae11 hours ago
Fico has been in hospital since Wednesday when a lone gunman shot him four times, including in the abdomen
world12 hours ago
The country was one of the donor states to freeze around $450 million in funds after Israel accused 12 UNRWA staff of participating in the Hamas-led attack
world12 hours ago
This inclusive community service is available daily on Al Hamriya Beach from 6.00am to sunset
uae13 hours ago