The Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC) has signed an MOU with National Commercial Bank (NCB) to support small and medium enterprises in Saudi Arabia.

The memorandum of understanding (MOU) will help provide export financing to smaller businesses in Saudi Arabia, particularly to non-oil exporters.

Under the MOU, ICIEC will provide insurance services of up to 90% on the loans.

The MOU was signed on October 20 by Khemais Al-Gazzah, operations director and acting CEO of ICIEC, and Adnan Bin Himd, senior vice-president of NCB.

Commenting on the MOU, Dr Abdel Rahman Tayeb Taha, CEO of ICIEC says: “Saudi businesses are very active in doing business worldwide and the financial institutions in the Kingdom are the first address that any Saudi business can think of getting financing to export. ICIEC is the only multilateral export credit insurance providing services (which are) shariah-compliant, and which financial institutions can rely on,” he says.

Saudi Arabia-based Sunbula and Fine Pastries Manufacturing is set to be one of the first companies to reap the rewards of this MOU, a spokesperson at ICIEC tells GTR.