Khalil AlMansouri, director general of the Abu Dhabi Exports Office (ADEX), outlines the ways in which the export financier is driving partnerships, boosting exports and supporting the UAE’s developmental vision.

 

The UAE’s export sector is a catalyst for broader economic development, driving investment in industry and manufacturing, fuelling technological advancements, enhancing skill development and boosting productivity. As the success of this sector relies on the performance of individual businesses, it is essential to have a robust support mechanism in place to sustain and strengthen their critical role.

To boost the UAE’s economy through the export sector, Abu Dhabi Fund for Development (ADFD) created the Abu Dhabi Exports Office (ADEX), filling a void in buyer credit financing by working alongside commercial banks to provide exporters with funding and insurance services.

Since its establishment in 2019, ADEX has made remarkable strides on the back of dynamic strategic planning and the strong support of ADFD, which has been promoting sustainable development globally for more than half a century, in alignment with the nation’s developmental vision. Over the past five years, we have successfully fulfilled our mandate, achieving phenomenal growth in exports across sectors such as agriculture, construction, renewable energy, information technology and artificial intelligence by providing buyers with financing. In all our efforts, collaboration remains a cornerstone, enabling us to achieve shared goals and drive sustainable growth.

Within the UAE, we have partnered with international and local financial institutions to co-finance transactions, which help achieve the shared goals of the banks, borrowers, exporters and ADEX. We have also forged strategic partnerships with governments, financial institutions and multilateral development banks in different continents including Europe, Africa and the Middle East.

 

Recent collaborations include ADEX’s participation

in a US$400mn sustainability-linked syndicated term loan initiative led by Mauritius Commercial Bank. Although ADEX did not provide the full amount, the initiative highlights ADEX’s commitment to sustainable economic growth through innovative financing solutions.

We have extended a line of credit to Nigeria’s Access Bank to support its lending for the EKO Atlantic City Development Project, which has been awarded to UAE-related entities. Additionally, we have a US$100mn line of credit with the Trade and Development Bank (TDB), a multilateral bank covering East and Southern Africa.

Last year we signed a financing facility with the global energy and commodities trading company BGN. The strategic collaboration set the stage for co-financing with two leading UAE banks up to US$100mn to facilitate the export of energy commodities from the UAE.

ADEX also partnered with Japan’s Sumitomo Mitsui Financial Banking Corporation (SMBC) to provide US$135mn-worth of financing to global commodities trader Trafigura. As part of the deal, we provided US$125mn to support Trafigura’s working capital needs, including for exports of metals, minerals and refined hydrocarbons from the UAE, with SMBC financing the remaining US$10mn.

These relationships are expected to pave the way for additional bilateral agreements, driving growth in the UAE’s exports and enhancing international trade connections. They also reflect our strategy to promote sustainable economic development through cross-border collaboration. We recognise the growing preference for unified transactions, which shape the business landscape of export credit agencies, necessitating flexibility and innovation. Our appeal lies in the simplicity of our approach, grounded in a clear vision that we ought to shoulder the financial burdens to allow exporters to focus on their priorities: refining their products and services, and expanding their businesses.

Our financing mechanism includes indirect financing through credit lines with financial institutions in importing countries and direct financing through loans to importers of UAE goods and services. Additionally, our payment guarantee scheme makes it easier for financial institutions to provide loans to importers who wish to procure goods and services from the UAE.

In every effort, we align with our nation’s broader economic and developmental goals, outlined in a series of strategic initiatives, such as Abu Dhabi Economic Vision 2030, Dubai Industrial Strategy 2030, We the UAE 2031, Operation 300bn, as well as the Comprehensive Economic Partnership Agreements our country has signed with various nations.

Notable examples include our agreement with Togo’s Ministry of Economy and Finance to boost the Mohammed bin Zayed Solar Park’s capacity, demonstrating our commitment to renewable energy and export opportunities.

Similarly, our loan agreements with Bahrain’s Electricity and Water Authority to finance a water supply network project highlight our commitment to vital infrastructure development. As of the end of last year, we have approved AED3.5bn (US$950mn) in financing for importers of Emirati goods and services.

With the UAE’s industry sector expanding rapidly, the role of export financing looks brighter than ever. As we continue to strive for excellence and innovation in our export financing solutions, we look to expand partnerships with financial institutions, locally and internationally. We believe this approach is critical in enhancing our capability to effectively address unique challenges and opportunities in the region as we drive sustainable economic growth for the UAE and beyond.

With a clear vision and steadfast commitment, ADEX stands ready to elevate UAE’s export capabilities to new heights. The future of the UAE’s export sector looks promising, and ADEX is proud to contribute to paving the way for the UAE’s continued economic prosperity. As we celebrate five years of transformative impact, ADEX reaffirms its pledge to empower the UAE’s exporters, drive economic diversification, and forge lasting partnerships that propel the nation toward a sustainable and prosperous future.