The Saudi Export-Import Bank and the Sumitomo Mitsui Banking
Corporation (‘SMBC’) have signed a Memorandum of Understanding (‘MoU’) that would
see the Japanese banking giant cooperating with Saudi EXIM with a view to providing
more financial solutions to Saudi and Japanese exporters and importers, streamlining
business, and reducing risk for both sides.
This MoU is the latest in a string of global deals that Saudi EXIM is pursuing to help
Saudi exports grow and become more competitive on a global level.
According to the MoU, SMBC will get involved in joint financing and development of
Trade, Export and Project Finance transactions, provide credit lines to buyers, explore
securitization or letters of credit to creditworthy Saudi exporters and Japanese
importers, and create financial solutions that further facilitate export/import deals and
projects pertaining to Saudi-Japanese trade.
Saudi EXIM’s work with SMBC is part of the bank’s effort to be involved in doing
business on a global level for Saudi exporters, increase Saudi exports through strategic
partnerships with national and international financial institutions, build national lending
and credit capabilities using expertise provided by the Japanese institution, and bolster
Saudi EXIM’s own lending and credit assets to help national exporters.
The MoU was signed by His Excellency Eng. Saad Alkhalb, Chief Executive Officer of
Saudi EXIM and Mr. Keiichiro Nakamura, Chief Executive Officer, SMBC Bank
International plc, Head of EMEA and Africa.
The MoU is part of Saudi EXIM’s drive for more agreements and strategic partnerships
all over the world, which go hand in hand with the objectives of Vision 2030, which
include boosting the global presence of Saudi products and services and creating and
finding more investment opportunities.
Eng. Alkhalb, Saudi EXIM’s CEO, said that the bank is working to broaden and diversify
its partnerships with national and international financial and credit houses, so as to
create and provide competitive financing and credit solutions that enable other Saudi
banks to fund non-petroleum exports. This, in turn, should boost the competitiveness of
Saudi products, increase the non-petroleum share of the gross domestic product, and
create a more diverse alternative economy as part of the Custodian of the Two Holy
Mosques’ government’s efforts to empower non-petroleum exports for a more
The Sumitomo Mitsui Banking Corporation offers financial products and services to a
wide variety of clients, from individuals to small and medium businesses, enterprises,
other financial institutions, and the Japanese government.