In a significant stride towards economic growth, Emirates Development Bank (EDB) has substantially contributed to the UAE’s industrial Gross Domestic Product (GDP), marking a remarkable 80% surge in 2023. The bank’s total loans financed since 2021 have reached Dh8.7 billion, with a notable increase from Dh2.4 billion in 2022 to Dh4.3 billion in 2023.
Shaker Zainal, Chief Business Officer at EDB, highlighted these achievements at the third Investopia Summit in Abu Dhabi. He emphasized EDB’s pivotal role as the UAE’s sole development bank, focusing on financing projects that align with the nation’s economic development objectives. Zainal emphasized EDB’s commitment to empowering businesses of all sizes, driving economic impact through patient debt strategies and flexible financing solutions.
One area of focus for EDB has been supporting Small and Medium-sized Enterprises (SMEs), crucial drivers of the UAE economy. With a 72% increase in net approvals of financing amounting to Dh3.3 billion for SMEs, EDB has significantly contributed to fostering innovation and growth in this sector. Zainal highlighted EDB’s efforts to address SMEs’ challenges by launching innovative programs like the Credit Guarantee Scheme and digitization finance, aimed at enhancing financial inclusion and facilitating SMEs’ integration into the national economy.
Moreover, EDB remains committed to driving the UAE’s sustainability agenda by offering tailored financing solutions to promote the energy transition and enhance national food security. Programs such as the Agritech Loans Program and Solar Energy Financing Program are designed to support businesses, especially micro, small, and medium-sized enterprises (mSMEs), in transitioning to cleaner energy sources.
In addition to financial support, EDB provides a wide range of non-financial services to drive entrepreneurship and SMEs’ contribution to economic development. The EDB Business Lab serves as a knowledge-sharing platform for entrepreneurs, offering expert guidance and financial literacy training to support their growth and development.
Furthermore, EDB leverages technology to enhance financial inclusion for SMEs. The EDB Business Banking App streamlines banking services, providing IBANs within minutes and enabling eligible SMEs to apply for loans of up to Dh5 million. This digital lending feature reflects EDB’s commitment to supporting innovation and digitization while facilitating SMEs’ access to finance.
Overall, EDB’s holistic approach to economic development underscores its commitment to fostering sustainable growth and driving the UAE’s economic diversification agenda. Through strategic financing initiatives and non-financial support programs, EDB continues to play a pivotal role in advancing the nation’s industrial sector and promoting entrepreneurship and innovation.
