EDB, Trade Capital partner to launch supply chain financing for SMEs

EDB, Trade Capital partner to launch supply chain financing for SMEs

Image courtesy: WAM

UAE’s Emirates Development Bank (EDB) has signed an MoU with Trade Capital Partners (TCP) to create supply chain finance and working capital solutions for small to medium enterprises (SMEs) in the country.

The partnership between the two entities was facilitated by Abu Dhabi’s Hub71 as part of a broader strategy that is aimed at supporting startups with commercial opportunities through its network of leading corporate and government partners.

The MoU will see the creation of a working group to discuss new ways of delivering supply chain financing to SMEs in the UAE.

Supply chain finance reduces the risk of supply chain disruption and enables both buyers and suppliers to optimize their working capital.

“We are constantly looking at new and innovative ways to support SMEs, which contribute more than 60 per cent of the UAE’s non-oil GDP,” said Shaker Zainal, chief business officer of Emirates Development Bank.

“Under this MoU, we will leverage our expertise combined with TCP’s platform to jointly bring more financing solutions to a wider range of businesses.”

EDB continues to deliver on its mission of fostering a healthy, sustainable, and self-reliant economy, with a mandate to approve Dhs30bn in financing support to 13,500 companies within five priority sectors –