Vacancies expected as bank major invests Dh5 billion in manufacturing sector, ETHRWorldME

Emirates Development Bank (EDB), a key enabler of the $300 billion operation, has committed Dh5 billion this year to finance the strengthening of the UAE’s manufacturing sector and the creation of new jobs.

The state-owned EDB offers financial solutions on flexible terms for small and medium-sized enterprises. According to the new announcement, EDB’s funding target includes Dh1 billion for co-lending to 11 commercial banks under credit guarantee programs and multilateral agreements.

“By strategically committing this significant amount of financing, we are facilitating the adoption of cutting-edge technologies and supporting innovations that will expand the UAE’s manufacturing capabilities, positioning our country as a leading global hub for high-tech industries,” Ahmed Mohamed Al Naqbi, CEO of EDB, said during the third “Make it in the Emirates” Forum in Abu Dhabi.

As part of the $300 billion operation, EDB will provide Dh30 billion in financial support by 2026 to 13,500 companies in five sectors – renewables, manufacturing, high-tech, healthcare and food security.

Al Naqbi noted that the financial assistance will lead to job creation in all sectors.

“We aim to ensure that these financial agreements translate into job opportunities, increased industrial production, greater domestic value and greater economic resilience. We believe the impact of this commitment will be felt throughout the economy, elevating the UAE’s industrial potential and contributing significantly to the national GDP.”

From the launch of the strategy in April 2021 to the end of the first quarter of 2024, EDB’s support to the manufacturing sector reached Dh4.7 billion in financing, representing 46% of the total financing of Dh10.4 billion. The new financing agreement aims to support a wide range of manufacturing projects, particularly those using advanced technologies in line with the UAE’s economic diversification plans.

Source: Khaleej Times