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UAE aims to boost economic relations with Czech Republic

Agreement calls for robust cooperation across a broad spectrum of duties

Published: Mon 24 Jun 2024, 4:02 PM

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  • WAM

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The agreement was signed by Abdullah bin Touq Al Marri, Minister of Economy and Chairman of ECI Board of Directors, and David Havlicek, Chairman of the Board of EGAP.. — WAM

The agreement was signed by Abdullah bin Touq Al Marri, Minister of Economy and Chairman of ECI Board of Directors, and David Havlicek, Chairman of the Board of EGAP.. — WAM

Etihad Credit Insurance (ECI), the UAE Federal export credit company, inked a strategic partnership agreement with the Export Guarantee and Insurance Corporation (EGAP) to create a framework for bilateral reinsurance obligations and provide insurance facilities to companies within the UAE and the Czech Republic, contributing to the promotion of bilateral trade between the two countries during the next phase.

The agreement was signed by Abdullah bin Touq Al Marri, Minister of Economy and Chairman of ECI Board of Directors, and David Havlicek, Chairman of the Board of EGAP.

Bin Touq said: "The UAE enjoys growing and developing economic relations with the Czech Republic, where the two countries have succeeded in their joint efforts to build sustainable and diversified partnerships and agreements in many economic and investment sectors. The new partnership agreement with EGAP complements these efforts as it comes within the framework of the distinct economic partnership between the two countries.

"The agreement will promote the creation of new economic prospects between the two exporters' communities in the two countries and contribute to the consolidation of common economic relations, thereby supporting the establishment of the UAE as a global partner and attractive and influential economic centre by the next decade in light of the goals of the'We the UAE 2031'vision."

The agreement calls for robust cooperation across a broad spectrum of duties, such as addressing risks related to sovereign and quasi-sovereign debtors, explore innovative avenues in improving flexibility for private sector debtors, and offering insurance facilities for export agreements that are in accordance with the official guidelines of the Organisation for Economic Co-operation and Development (OECD) Arrangement on Officially Supported Export Credits.

Furthermore, this agreement cultivates a strong foundation for bilateral cooperation in areas of common interest, which is beneficial to both countries' export and foreign trade industries.

Havlicek said: "We are confident that this agreement will contribute to advancing trade and investment between the two countries in the coming period. Providing export credit solutions to Czech and UAE companies will undoubtedly boost their confidence and security, encouraging them to expand the scope of their mutual business and investments. We will work side by side with our partners in the UAE to guarantee the success of this agreement and maximise its benefits."

Raja Al Mazrouei, CEO of Etihad Credit Insurance, said: "This agreement aligns with ECI's steadfast commitment to broadening its global network of partnerships with strategic markets, offering innovative credit solutions, streamlining export operations, reducing risks, and fostering confidence in exports, re-exports, and foreign trade channels."

Over the past few years, Etihad Credit Insurance has successfully formed around 21 cooperation agreements with government export credit agencies across the globe. This move further helps to broaden the ECI's network of collaborations, which is a crucial component of the recently introduced strategic initiative'Xport Xponential'. This initiative aims to support the growth of UAE exports and increase the diversity of the national economy while also promoting its sustainability.

EGAP is a specialised state-owned credit insurance company that focuses on the insurance of non-marketable commercial risks associated with exports of goods and services from the Czech Republic.

The company's primary focus lies in providing bank loans with a maturity of more than two years in order to finance the export of energy, machinery, technological systems, investment projects and transport constructions.



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