The Saudi Fund For Development (SFD) has offered an extended credit facility valued at $ 1 million to Sri Lankan importers interested in getting non-oil products from Saudi Arabia.
The first-ever agreement, under the long term credit program was signed between Sri Lanka’s Selmo (Pvt) Limited and the Saudi Export Program (SEP), which functions under the umbrella of the SFD.
According to the accord, Selmo has inked a financing agreement with the Saudi Export program (SEP) to import raw materials for plastics such as polypropylene, polyethylene and granule products from Saudi Arabia to Sri Lanka on long term credit basis. The agreement was signed between Managing Director of Selmo, Anton Hemantha and Director General of the Saudi Export Program, Ahmed Al Ghannam in the presence of Sri Lankan Ambassador Azmi Thassim and representatives from both sides.
Director General of the SEP stressed that this program is soon to be turned into Saudi Arabia’s Exim Bank.
Speaking to the Riyadh Daily, following the signing of agreement, Hemantha said that his company has been importing raw materials for plastic products from SABIC in Riyadh. “This is going to be a new arrangement which would not only help Sri Lanka but also Saudi Arabia to export their non-oil products to various countries.”
The Saudi Export Program is the arm of the Saudi Fund for Development to finance non-oil exports from Saudi Arabia to other countries on long term credit basis specially raw material related items giving more competitive advantages to private companies to produce products at lower cost and export to other countries. Several other countries have already become partners of SEP availing themselves of the long term concessions offered by the SFD. Under this scheme, the SEP has opened its credit facility for a large number of non-oil products from Saudi Arabia and more importantly, the import of raw material related products for Sri Lanka.
-Riyadh Daily