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Etihad Credit Insurance (ECI), the UAE export credit company, and three partners signed a joint agreement on Tuesday, September 17 to support global commodities giant Trafigura in expanding their acquisition of commodities from the UAE.
ECI worked with the Abu Dhabi Export Office (ADEX), First Abu Dhabi Bank (FAB), and Natixis Corporate and Investment Banking (Natixis CIB) to provide the commodities group with a $150 million Revolving Credit Facility for two years to purchase non-hydrocarbon commodities from the UAE and export them globally.
This collaboration is part of ECI’s goal of developing strategic alliances that boost the UAE’s economy and diversify its exports, decreasing the country’s dependence on oil. Instead, Trafigura will likely use the funds to secure non-oil commodities such as metals and minerals, helping the UAE integrate further into the international supply chain.
H.E. Raja Al Mazrouei, CEO of ECI, said, “This collaboration exemplifies the UAE’s stable investment climate and effective focus on non-oil sectors. More importantly, we believe this association not only increases in-country value, but also strengthens the UAE’s reputation as a trusted source of essential commodities on a global scale.”
ECI’s mandate goes beyond just credit insurance, providing services like export strategy and market intelligence to encourage sustainability and non-oil trade in the UAE. The credit company played a central role in facilitating this collaboration, which Trafigura Group Chief Financial Officer Stephan Jansma said was “the first financing of its kind to a commodity trading company”.
The collaboration places Natixis CIB as book runner, ECA agent, and facility coordinator and agent, ensuring all participating banks coordinate their finances and have aligned interests. All lenders will serve as the mandated lead arranger, with significant contributions coming from ADEX, whose mandate is to promote UAE exports and encourage sustainable growth. Legal advisory services were provided by A&O Shearman and Clyde & Co.
The partnership forms part of a trend by UAE institutions to steer the economy away from oil and strengthen its other commodities markets, positioning the country as a global commodities and trading hub. The country saw significant diversification in recent years, with non-oil contributions to GDP at 72% in 2024, up from 62% just 12 years earlier, and steady growth in a range of sectors.
Trafigura’s choice to source metals, minerals, and bulk commodities from the UAE proves these efforts have been successful. The country appears poised to become a crucial player in the global commodities trade and an important future client for trade finance institutions.
“This partnership with national and international banks and other financial institutions aligns with UAE economic diversification goals and underscores our belief that united efforts lead to transformative success,” said Khalil Al Mansoori, Director General of ADEX.
