Korean bank IBK to give SME financing expertise to Saudi Arabia

The SME Bank of the Kingdom of Saudi Arabia has signed an agreement with the Industrial Bank of Korea on mutual cooperation and knowledge exchange when it comes to financing businesses in the sector

  
Image used for illustrative purpose. Saudi riyal.

Image used for illustrative purpose. Saudi riyal.

Getty Images
 
Saudi Arabia - Small and medium-sized enterprises (SMEs) in Saudi Arabia will now benefit from the expertise of one of Asia's leading banks, thanks to a new agreement signed on Tuesday,

The SME Bank of the Kingdom of Saudi Arabia has signed an agreement with the Industrial Bank of Korea (IBK) on mutual cooperation and knowledge exchange when it comes to financing businesses in the sector.

IBK will also advise on business strategy, risk and credit management, as well as development of products and services.

In a virtual ceremony, His Excellency Mohammad Al-Tuwaijri, chairman of the SME Bank, and Mr. Yoon Jong-won, chairman and CEO of IBK, signed the agreement in Riyadh and Seoul, respectively.

H.E. Al-Tuwaijri said: “This collaboration is a step forward on our path to enhance the entrepreneurship ecosystem in Saudi Arabia, which is witnessing significant transformation and reform as part of the Saudi Vision 2030.

He added “Saudi Arabia is determined to become one of the world’s most advanced countries in entrepreneurship space, aiming to develop the local ecosystem’s components in collaboration with our partners.

"This strategic partnership with IBK is a cornerstone for establishing the financing arm of SME ecosystem and boosting innovative SMEs financing solutions.”

IBK is owned primarily by the government of the Republic of Korea with the aim of financing SMEs.

It has total assets of $382 billion, and its net income exceeded $1 billion for the sixth consecutive year, a credit rating of Aa2 from Moody’s, AA- from S&P, and AA- from Fitch.

The agreement follows a Memorandum Of Understanding signed by Monsha’at and IBK during the Crown Prince’s visit to Korea in 2019.

Copyright: Arab News © 2021 All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info).

Disclaimer: The content of this article is syndicated or provided to this website from an external third party provider. We are not responsible for, and do not control, such external websites, entities, applications or media publishers. The body of the text is provided on an “as is” and “as available” basis and has not been edited in any way. Neither we nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this article. Read our full disclaimer policy here.

More From Global