SABB signs supply chain financing agreement with MoF
COMMERCIAL NEWS
The Saudi British Bank (SABB) has signed an agreement with The Ministry of Finance (MoF) to finance the ministry’s supply chain, in collaboration with National Debt Management Centre.
The agreement brings the kingdom’s three leading banks together to speed up transactions between buyers and suppliers to boost economic growth.
The agreement was signed on November 16, at the Ministry’s headquarters in Riyadh, by Fahad Al-Saif, CEO of the National Debt Management Centre, and David Dew, the Managing Director at SABB, under the auspices of Abdulaziz bin Saleh Al-Furaih, Chairman of the Steering Committee at the Ministry of Finance, and in the presence of a number of senior executives from the Ministry and Saudi banks.
The agreement includes implementing a supply chain financing programme, as a financial solution to the Ministry’s Cash and Liquidity Management. Under the new agreement, payment orders are funded by financial institutions to pay the dues of suppliers from the private sector immediately.
The faster process improves efficiency of liquidity management for the private sector.
Following the signing of the agreement, Dew commented: “We are delighted to have the opportunity to play a leading role in developing the kingdom’s financial sector. As a stronger, merged bank, we promise to work harder than ever to create more growth opportunities for the kingdom.”
Dew added: “Now more than ever, it’s important the kingdom’s government and banks are able to pull together to fast-track the kingdom’s financial development. Everybody wins when we collaborate to make doing business in the kingdom easier - and the new Supply Chain Financing Agreement is a great example of
that.”
SABB actively supports many strategic partnerships with governmental institutions to help achieve Vision 2030 initiatives and objectives. As part of the Vision 2030 Financial Sector Development Programme, SABB was recently granted approval by the Securities Clearing Centre Company (Muqassa) to act as a general clearing member to conduct clearing activities in the Saudi Stock Exchange (Tadawul). -- Tradearabia News Service
