Saudi Arabia’s Ministry of Finance (MoF), represented by the National Debt Management Center (NDMC), raised approximately a 1 billion Saudi riyals ($266.65 million) green Export Credit Agency (ECA) financing.
Raising a green loan with export credit agencies is the first of its kind in Saudi Arabia.
MoF said in a statement that the financing will cover the procurement of 842 German-made buses for King Abdulaziz Public Transport Project (Riyadh Buses) in Saudi Arabia.
Fahad Al-Saif, president of NDMC, said that the ECA-backed financing has been used for the first time by the Ministry through German Export Credit Agency “Euler Hermes”, with two international banks (in US Dollar); for the purpose of supplying German-made buses.
HSBC said in a statement on Sunday that they acted as Mandated Lead Arranger (MLA), an original lender and the agent bank for the kingdom’s first green ECA loan.
(Writing by Gerard Aoun; editing by Seban Scaria)
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