RIYADH: Saudi Arabia’s Public Investment Fund has signed a memorandum of understanding with the Export-Import Bank of the US to establish a financing framework worth up to $15 billion to support strategic investments and procurement from US companies.
The agreement, announced on Friday, will provide long-term export credit financing for eligible PIF portfolio companies to buy US-origin goods and services, strengthening trade and investment ties between the two countries.
The deal builds on PIF’s existing partnerships with export credit agencies in key international markets and forms part of the sovereign wealth fund’s broader capital-raising strategy.
The two sides said they would explore opportunities across sectors including advanced technology, aerospace, infrastructure, future mobility, water security and critical minerals used in advanced manufacturing.
The agreement also aims to strengthen supply chains, promote digital and industrial innovation and support long-term economic development in both countries.
According to PIF, the US is its largest international market. Since 2017, procurement by the fund and its portfolio companies from US suppliers has totaled $65 billion, contributing an estimated $35 billion to US gross domestic product.
Rasees Al Saud, head of financial institutions and investor relations for global capital finance at PIF, said the agreement would enhance cooperation and create new opportunities.
“Partnering with US EXIM will enable us to deepen cooperation in strategic sectors and create new opportunities for Saudi and American companies to expand collaboration and exchange knowledge and experience, in support of sustainable growth and long-term prosperity,” he said.
“The MoU builds on PIF’s strong partnerships with a wide group of leading global financial institutions.”
John Jovanovic, president and chairman of EXIM, said that the partnership supported the bank’s mission to promote American exports and manufacturing.
“This partnership between EXIM and PIF directly advances our Buy American, Build the Future framework by fostering American innovation in critical sectors,” he said.
“As a frontline economic tool, EXIM helps drive American innovation onto the global stage while revitalizing manufacturing here at home and this agreement delivers on both.”
Sarah Whitten, EXIM’s chief commercial officer, said that the agreement would help strengthen resilient supply chains while creating new opportunities for US exporters in industries shaping the global economy.
