Muscat, “Since its establishment in 1991 to limit the business and non-business (political risks), the Export Credit Guarantee Agency S.A.O.C. (Credit Oman) has played an important role in serving Omani exports,” said Emad bin Saud al-Harthy, Acting CEO of Credit Oman.

“It also provided a number of compensations for its customers and provided the Omani exports with access to the promising markets without any worries regarding the buyer’s failure to make payment. It also opened channels for dealing with new buyers and carry out the commercial and non-commercial risks related to the buyer’s bankruptcy or failure to pay,” he explained in a statement to Oman News Agency (ONA).

Despite the rapid economic developments and the political conditions in the market, Credit Oman is committed to enhancing the Omani products’ competitiveness at the local and foreign markets, he added in a statement to ONA.

‘Credit Oman, a government-owned company under the Oman Investment Fund, supports the Omani products by promoting it to reach all countries of the world side by side with organizations operating in the same field.

“The Omani exports are mainly consumable products that are consumed within 6-12 months, such as foodstuffs (fish, dates and vegetables). Fish is exported to Mediterranean countries such as Cyprus, Greece, Italy and Spain, in addition to East Asian countries. The Sultanate exports building materials, such as steel and aluminum,” he furthered.

As for the subsidy mechanism, he pointed out that Credit Omani provides the export insurance policy which reduces the risks that may face buyers during selling their products abroad. The policy provides the customer with the guarantees related to the buyers’ failure to pay or in case of non-commercial risks.

Credit Oman provides services for exports to 112 countries in the Gulf area, EU, East Asia, North and South Americas.

“The values of announced transactions by Credit Oman, a closed joint stock company, at the first quarter in 2018 stood at RO 25,651,000, of which RO 19,329,000 for the announced exports. The total value of the announced local transactions stood at RO 6,321,000 and the total value of the approved credit ceilings for experts during the first quarter of 2017 stood at RO 2,022,000. As of the end of 2017, Credit Oman issued 233 policies for exports including 68 for local use.

Source: Oman News Agency