Emirates Development Bank’s contribution to Industrial GDP grows 80% in 2023
Emirates Development Bank (‘EDB’ or the ‘Bank), the key financial engine of economic development and industrial advancement in the UAE, has unveiled its 2023 results, showcasing an extraordinary year of achievements and strategic milestones. The Bank revealed a significant 80% surge in its contribution to the UAE’s industrial GDP, which has grown from AED 2.4 billion in 2022 to AED 4.3 billion in 2023, as well as its contribution to the creation of 17,219 jobs, illustrating its commitment to fostering economic growth and development.
The annual results underscore EDB’s substantial impact on the nation’s priority economic sectors, reflecting its pivotal role in the UAE’s vision for industrial diversification and sustainable growth.
His Excellency Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology, and Chairman of Emirates Development Bank, commented: “In line with the UAE leadership’s vision for Emirates Development Bank to be a key financial enabler of the UAE’s Industrial Strategy, and play an effective role in supporting sustainable economic and social development, the Bank continues its significant achievements which reinforce the nation’s economic resilience and advancement.”
He added: “EDB’s dynamic strategy which offers innovative financing solutions has played a pivotal role in reshaping the UAE’s industrial sector which led to a remarkable increase in the industrial GDP impact in 2023, bringing the total of net financing approvals since the launch of EDB’s strategy in 2021 to AED 8.7 billion.
“These unparalleled results showcase the Banks’ commitment to making progress towards its goals, building a diversified economy, and contributing to the resilience and competitiveness of the national economy.”
The Bank’s flexible financing solutions and patient debt approach have significantly bolstered industrial growth, SME support, and technological advancements, aligning with the UAE government’s strategic goals.
His Excellency Ahmed Mohamed Al Naqbi, CEO of Emirates Development Bank, added: “The year 2023 has been a milestone for EDB in reinforcing its role as a key enabler of the UAE’s economic growth and industrial advancement. Our strategic emphasis on sectors crucial to the UAE’s future development has led to the deployment of innovative and sustainable financing solutions. This resulted in a significant 72% increase in SME financing approvals, totaling AED 3.3 billion, which underlines our commitment to nurturing the backbone of our economy, as well as a AED 1.3 billion in financing approvals under the Credit Guarantee Scheme with partner banks, enhancing access to capital for SMEs.
“We have set a clear goal to elevate EDB’s contribution to the UAE’s GDP to AED 10 billion by 2026, focusing on empowering the private sector to drive the nation’s economic growth. Our efforts and achievements have been instrumental in positioning EDB as a catalyst for the economic growth of the UAE.”
Moreover, EDB has approved a total of AED 1.3 billion in financing under the Credit Guarantee Scheme with partner banks in the UAE, which marks a 64% increase compared to the previous year and reflects the Bank’s commitment to enhancing the financial inclusion of SMES.
EDB launched five new programs with a total value of more than AED 500 million in financing, including two first-of-a-kind programs dedicated to financing agritech and solar energy projects. This reaffirms the Bank’s alignment with the UAE’s climate goals and net zero ambitions as well as its comprehensive approach to economic development.
The Bank has a mandate to approve AED 30 billion in financing support to 13,500 companies within five sectors – manufacturing, food security, healthcare, technology, and renewables – by 2026.
ENDS
