Saudi EXIM Strengthens Export Ecosystem with Reinsurance Agreements
The Saudi Export-Import Bank (Saudi EXIM) is expanding its global partnerships through a series of reinsurance agreements designed to boost confidence, mitigate export risks, and reinforce the resilience of Saudi Arabian supply chains.
During an official visit to the United Kingdom and France, CEO Eng. Saad bin Abdulaziz Al-Khalb formalized three key agreements. These partnerships are established with prominent international insurance providers, including Allianz Trade, Bpifrance, and American International Group (AIG).
The reinsurance agreements form part of Saudi EXIM’s ‘Bridges Initiative,’ which focuses on enhancing trade finance and credit insurance solutions. The initiative aims to partner with export credit agencies and private insurers to support the flow of essential raw materials and capital goods.
Al-Khalb stated that these partnerships support Saudi EXIM’s overall goals: “These agreements support Saudi EXIM’s goal of fostering a sustainable export ecosystem that provides confidence and security for Saudi exporters.”
The bank aims to facilitate access to industrial and technological materials from more than 70 countries under competitive credit terms. The goal is to foster a more stable and secure global supply chain.
Saudi Reinsurance Sector Sees Growth
In a related development, the Public Investment Fund (PIF), Saudi Arabia’s sovereign wealth fund, recently acquired a 23.08% stake in Saudi Reinsurance Company (Saudi Re). This was achieved through a capital increase and subscription to new shares, signaling confidence in the sector’s potential.
The kingdom’s reinsurance sector is on an upward trajectory, with total written premiums reaching SAR 1.94 billion (approximately US$520 million) in the first nine months of 2024. This represents a compound annual growth rate of 17% over the past five years. Industry projections indicate continued expansion, forecasting the market to reach US$5.17 billion by 2033. This growth is fueled by economic diversification efforts and large-scale infrastructure projects under Vision 2030.
