First Abu Dhabi Bank (FAB) launches an innovative supply chain finance solution to enhance cash flows for Alfanar’s suppliers.
First Abu Dhabi Bank (FAB) takes a strategic leap in the Saudi Arabian market with the introduction of its new supply chain finance program, empowering Alfanar’s suppliers to optimize their receivables using FABeSCF, an automated digital platform that seamlessly integrates with clients’ ERP systems. The program is already active in the UAE and Egypt.
FAB is the largest bank in the UAE in terms of assets. The bank is aiming to enhance its regional presence while leveraging technology to offer products such as the FABeSCF platform. Alfanar is a Saudi Arabia-headquartered manufacturer and has established itself as a prominent player in the appliance and electronics industry.
Empowering suppliers with streamlined receivables management
The initiative by FAB represents its first foray into the SCF realm in Saudi Arabia. Under the program, Alfanar’s suppliers gain the advantage of monetizing their receivables by leveraging FABeSCF, the bank’s state-of-the-art automated digital platform. With its successful launch in Egypt in 2021 and subsequent expansion into the UAE, FABeSCF facilitates direct integration with clients’ ERP systems, eliminating the need for cumbersome manual interventions. The platform empowers corporates to conveniently access funds with just a few clicks, significantly improving the efficiency and effectiveness of the internal processes involved.
FAB – Optimizing supply chain cash flows
Mohammad Khattab, Corporate Treasury Manager at Alfanar, expressed his enthusiasm for the collaboration, stating, “We are delighted to partner with FAB and launch this working capital solution that is aimed at improving cash flows across the entire supply chain. Using the automated online FABeSCF platform will make the internal process much more efficient and seamless for Alfanar.” This strategic alliance enables Alfanar’s suppliers to enhance their liquidity position by efficiently managing their receivables, ultimately strengthening the overall financial stability of the supply chain.
Expanding FAB’s SCF footprint and meeting diverse industry needs
Anirudha Panse, FAB’s Head of Global Transaction Banking Trade Finance Product Innovation, highlights the significance of this milestone, emphasizing that it represents FAB’s inaugural SCF program utilizing the advanced FABeSCF platform. Panse affirms that the bank anticipates a series of forthcoming SCF programs, “The pipeline is very strong, and there is significant demand from all our customers. The main sectors experiencing high demand include power and energy, oil and gas, and food distribution,” he said.
DP World and South Africa’s Standard Bank recently partnered to offer a range of trade financing solutions to African companies.