Abu Dhabi:Etihad Credit Insurance (ECI), in collaboration with Natixis Corporate and Investment Banking (Natixis CIB), First Abu Dhabi Bank (FAB), and HSBC Bank Middle East Limited, has signed an agreement to renew and expand its support for Trafigura in procuring UAE-origin commodities. This development aims to enhance the export of non-hydrocarbon related products from the UAE.
According to Wam, the renewed agreement extends ECI's support for an additional two years and introduces a broader scope of eligible trade flows. Trafigura will benefit from a USD 150 million revolving credit facility, with ECI providing credit insurance support up to USD 100 million.
The financing facility is designed to facilitate the procurement of eligible UAE-origin commodities, reinforcing the UAE's status as a global trading and re-export hub. HSBC Bank Middle East Limited joins the Mandated Lead Arranger consortium, alongside Natixis CIB and FAB, with Natixis CIB acting as Facility Coordinator, Bookrunner, and ECA agent bank.
This arrangement builds on previous support from ECI for Trafigura. The expansion marks a continuation of ECI's backing while broadening the facility to cover a wider range of UAE-origin non-oil exports. The collaboration reflects ECI's commitment to enabling UAE-origin exports through credit risk mitigation and innovative trade finance solutions.
Statements from key figures at ECI, Trafigura, Natixis CIB, and HSBC highlight the strategic importance of this renewed collaboration. They emphasize the role of export credit insurance in strengthening trade partnerships, supporting the UAE's economic diversification, and connecting UAE businesses with international markets. The transaction underscores the collaboration between export credit institutions and commercial banks in facilitating trade finance for UAE-origin goods.
Overall, this initiative aligns with ECI's mandate to support the growth and international competitiveness of the UAE's non-oil economy. By facilitating financing for UAE-origin commodities destined for overseas markets, ECI continues to support the country's ambitions to deepen international trade relationships and strengthen its position as a global hub for trade, logistics, and re-export activity.