Emirates Islamic is the first Islamic bank to sign an agreement with Emirates Development Bank (EDB) to be part of EDB‘s ‘Credit Guarantee Scheme’, showing both the banks’ shared commitment to support the growth of Small-to-Medium Enterprises (SMEs) in the UAE.
EDB‘s Dh100 million Credit Guarantee Scheme supports the goals of the National Agenda under UAE Vision 2021, focused on boosting the GDP contribution of SMEs to 70 percent by 2021 and is aligned with the UAE’s push towards economic diversification and building a post-oil economy. The initiative offers to finance of up to Dh2 million to startups through EDB’s partner banks, wherein EDB guarantees up to 85 percent of the finance amount. The scheme also offers up to Dh5 million financing to existing SMEs, with EDB guaranteeing up to 70 percent of the finance amount.
The partnership reflects Emirates Islamic Bank’s commitment in supporting the SME sector, which constitues more than 90 per cent of the total number of companies operating in the UAE and employs over 86 per cent of the private sector workforce, according to the Ministry of Economy. SMEs are a key driver of Emirates Islamic‘s growth strategy, and the bank offers a wide range of business banking products and services tailored to meet the needs of companies of various sizes and backgrounds.