Saudi Arabia: Ministry seals $3bn financing deal with K-Sure
Source: Middle East Insurance Review | Feb 2021
Saudi Arabia’s Finance Ministry, through the National Debt Management Centre (NDMC), has signed a long-term financing agreement with Korea Trade Insurance Corporation (K-Sure).
The agreement was signed by Saudi Finance Minister Mohammed Al-Jadaan and the chairman of K-Sure Lee In-ho last December, reported the Saudi Press Agency. The deal is the second of its type for Saudi Arabia, following the signing of an Euler Hermes financing agreement in July 2020.
The financing amounted to $3bn with very strong interest received from international banks across geographies, said NDMC CEO Fahad A Al-Saif. The transaction has been closed with 10 international banks.
The financing provided will be used for strategic government projects in line with the kingdom’s Vision 2030 programme.
Mr Al-Jadaan said the agreement arises within the framework of cooperation between the two G20 members — Saudi Arabia and South Korea.
This cooperation is expected to lead to the arrangement of meetings between service providers from South Korea and the owners of major future projects with the aim of securing financing on these projects. M