UAE: Up to AED 5 billion in Loans To Be Approved in 5 Days
September 1, 2022
Emirates Development Bank, a leading bank that is fully owned by the Government of the United Arab Emirates, has announced that entrepreneurs, small and medium-sized enterprises as well as startups can apply for financing to the tune of AED 5 billion.
Those who apply for trade financing through Emirates Development Bank's Digital Banking App can expect to receive approval or feedback – in case the loan application is rejected –within five days from the date of application. The service is being offered in partnership with “Beehive”, a peer-to-peer (P2P) lending platform. This is expected to greatly improve the ease of doing business in the United Arab Emirates, as access to corporate finance is the numero uno challenge faced by SMEs and startups.
According to Ahmed Mohamed Al Naqbi, the Chief Executive Officer of Emirates Development Bank, this marks a significant milestone when it comes to access to trade finance for small and medium-sized enterprises. Emirates Development Bank's Digital Banking App is powered by UAE-based fintech YAP, and it already offers corporate bank account opening, replete with an IBAN, within 48 hours. A comprehensive range of secure, round-the-clock banking services are subsequently offered through the app.
Ahmed Mohamed Al Naqbi adds that Emirates Development Bank is constantly looking to collaborate with fintech players and those operating in the financial services space in order to improve accessibility to the bank’s range of offerings. He stressed that small and medium-sized enterprises play a very important role in diversifying the economy of the United Arab Emirates. Craig Moore, the Founder and the Chief Executive Officer of Beehive, said that the move would spur trade growth and ease financial concerns.
Financing is currently offered to startups and SMEs who operate in one of five priority sectors – manufacturing, food security, healthcare, infrastructure, and advanced technology. Trade loans and corporate financing are offered for a period of up to 5 years.
Masood Khan, the Chief Executive Officer of YAP UAE notes that this marks the transition of Emirates Development Bank to a purely digital SME-lending player. This opens up a plethora of opportunities for small and medium-sized enterprises as well as startups, with the bank's offerings focusing on customer needs and innovative products while also ensuring faster outcomes. Their partnership with Emirates Development Bank showcases how they are re-imagining the business lending proposition.
New Horizons Business Consultants is a provider of business banking and corporate financial solutions in Dubai, United Arab Emirates. We are led by Ms. Francesca Bouwman, who has years of experience in International Business Advisory and fluently speaks several European languages. If you would like to know more about how we can help your business explore new markets with easier access to trade financing, please call us at +971 58 500 8643 or email us at firstname.lastname@example.org