RIYADH: More green energy produced in Saudi Arabia will be exported to South Korea thanks to a new agreement signed between the two countries.
The Saudi Export-Import Bank has signed a memorandum of understanding with Korea Trade Insurance Corp which will see eco-friendly fuels, including green hydrogen and green ammonia, traded with the Asian nation, the Saudi Press Agency reported.
As a part of the MoU, both nations will also engage in mutual information exchange on markets and projects.
According to the report, this deal will also help Saudi’s EXIM Bank to promote the development and diversification of exports to the Republic of Korea, along with providing export financing and guarantee services, securing export credit, and aiding the entry of Saudi products into the Korean market.
Korea Trade Insurance Corp., also known as K-SURE, is the official export credit agency of the Republic of Korea.
In October, Saad Al-Khalb, CEO of EXIM Bank, told Arab News that it provided SR20 billion ($5.3 billion) to support the Kingdom’s exports since its establishment in 2020.
Al-Khalb also noted that the main mandate of EXIM is to support the economy and flow of goods, trades, infrastructure and long-term projects.
He also added that EXIM Bank always tries to ensure that no Saudi cross-border export fails due to a lack of insurance or financing.
In May, Saudi EXIM Bank launched its five-year strategic plan, from 2022 to 2026.
The strategy seeks to close financing gaps and reduce export risks which will help facilitate Saudi non-oil exports to reach various global markets.