US Exim has signed a US$5bn MOU with Dubai Economic Council.
The MOU is designed to support US exports to Dubai, which is already one of the regions US Exim is most active in. In 2012, the bank authorised around US$3.32bn in trade with the UAE – about 9% of its total coverage.
It’s hoped that the agreement will boost US exports in the following sectors: aviation infrastructure and air traffic control, railway, metro and port development infrastructure, power generation, oil and gas, petrochemicals, water treatment projects.
“The MOU underscores our continued co-operation with our partners in Dubai and helps ensure that American exporters are not disadvantaged by foreign companies relying upon state-driven capital. The more orders American exporters fill in Dubai, the more American jobs we can support,” says US Exim chairman Fred Hochberg.
Already in 2013, US Exim has issued a direct loan of US$2bn to Barakah One, a UAE company, for the purchase of American equipment to construct a nuclear power plant. It’s expected that more transactions will follow, as per this agreement.