EDB ‘Sanad’ Initiative aims to support the Emirati SMEs’ working capital needs
Emirates Development Bank (EDB) has launched ‘Sanad’, a AED 100 million post-Covid acceleration initiative. In line with the UAE’s National Strategy, the new initiative aims to extend quick, easy-to-access, and flexible loans to Emirati-owned and managed businesses looking to accelerate the growth of their businesses post the pandemic.
Apart from the quick, convenient, and flexible platform, EDB is also offering interest rates which are the most competitive lending rates in the market in both secured and unsecured loan categories. The loans, to be offered at a starting rate of 5.99 percent per annum on reducing balance basis, seeks to enable Emirati businesses looking to accelerate their economic growth post Covid.
Ahmed Mohamed Al Naqbi, Chief Executive Officer of EDB, said, “Our new ‘Sanad’ initiative is in line with the country’s economic diversification strategy and part of the bank’s efforts to drive industrial growth and modernization in the country in the next 50 years and beyond. EDB is the only bank in the UAE to provide such first-of-its-kind quick, easy-to-access, and flexible liquidity support to Emirati-owned and managed SMEs post Covid. Moreover, we have designed a suite of expert financial services to enable Emirati owned and managed businesses accelerate their growth post the pandemic.”
EDB stated that the loan requests will be processed within five working days through a hassle-free process making the new initiative a quick, convenient, and flexible platform. The credit assessment of the SMEs will be based primarily on their 2019 financials (pre-COVID) with relaxed norms on evaluation of 2020-2021 financial performance.