Trade and Export Middle East | June 2014

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BUSINESS INTELLIGENCE FOR INTERNATIONAL TRADE www.tradeandexportme.com

CONTENTS

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56 ADVISORY BOARD Key personalities sharing their expertise to ensure that we bring you the latest trends and LVVXHV LQ WKH ĹľHOG RI WUDGH Global meets local 58 A HYDROCARBON RENAISSANCE FOR IRAN? +DYLQJ RQH RI WKH ODUJHVW IRVVLO IXHO UHVRXUFHV LQ WKH ZRUOG DQG ZLWK WKH OLNHOLKRRG RI D WKDZ LQ LQWHUQDWLRQDO UHODWLRQV KRZ FDQ WKH VOHHSLQJ JLDQW LQĹśXHQFH WKH JOREDO PDUNHW" $VVRFLDWH (GLWRU 9LFN\ Connolly assesses the latest GHYHORSPHQWV

With the digital economy developing rapidly worldwide, new technological trends, such as mobile and social solutions, cloud computing and data analytics are beginning to offer a new range of opportunities for business services in the knowledge economy. p62

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Country focus: Qatar 62 THE VIRTUAL REALITY – HOW QATAR-BASED DOTCOMS ARE A FORCE TO BE RECKONED WITH We evaluate the role that Qatar’s ICT sector plays in bringing connectivity and innovation in the Gulf state’s business and social networks. Strategy 66 CAN THE WORLD CUP HELP YOUR COMPANY? Dr. Ashraf Mahate, Head, Market Intelligence, Dubai Exports, shoots for goal – with his ideas on how exporters FDQ EHQHĹľW IURP KLJK SURĹľOH HYHQWV VXFK as the World Cup. VIP interview 70 “WE BELIEVE IN DOING THINGS BETTER, QUICKER AND SMARTER.â€? Steven Speter, Managing Director, 36 Strategies speaks to Trade and Export ME DERXW KRZ EXVLQHVVHV FDQ EHQHĹľW IURP KDYLQJ WKH ULJKW SURFXUHPHQW VWUXFWXUH

STERLING REMAINS A MARKET FAVOURITE AS STEADY EVIDENCE OF A STRENGTHENING BRITISH ECONOMY HAS MANY BETTING ON A SOMEWHAT EARLY RATE HIKE BY THE BANK OF ENGLAND. p74

Finance 74 MONEY MATTERS The Western Union Business 6ROXWLRQV WHDP JLYHV XV WKHLU KLJKO\ polished update on currency PRYHPHQWV IRU WKH PRQWK RI -XQH Event spotlight 78 MEET YOUR TECHNOLOGY PARTNER TeknoPark - Yildiz Technical University, Istanbul, and Trade DQG ([SRUW 0LGGOH (DVW PDJD]LQH MRLQHG IRUFHV WR KRVW D KLJK SURžOH networking evening. We bring you the highlights of the event. Insurance and risk management 80 FRESH OPPORTUNITY – TRADE CREDIT INSURANCE In an exclusive interview with Roberto Cassaro, CFO of Euler +HUPHV *&& ZH H[DPLQH WKH PDUNHW landscape and its increasingly strong take-up of TCI.

TRADE AND EXPORT MIDDLE EAST

ADVISORY BOARD Trade and Export Middle East presents a dynamic group of industry experts and leaders as part of its Advisory Board. The following key personalities will help add value to our analysis and ensure that we bring you the latest trends and issues in the field of trade.

H.E Saed Al Awadi CEO, Dubai Exports, Department of Economic Development, Dubai

&T #FGGD #N#HGGĆ‚ Director, Foreign Trade & Export Support International Economic Relations Sector, Department of Economic Development, Abu Dhabi

Khalil Saqer Bin Gharib Corporate Communications Director, Dubai Customs

Lakshmanan Sankaran Chairman, Regional Banking Commission (MENA)- ICC Paris

Moin Anwar Trade & Investment Commissioner (Middle East), New South Wales Government, Australia

Peter Fort CEO, Ras Al Khaimah Free Trade Zone

For more information, please visit www.tradeandexportme.com

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GLOBAL MEETS LOCAL

A HYDROCARBON RENAISSANCE FOR IRAN? WITH SOME OF THE LARGEST FOSSIL FUEL RESOURCES IN THE WORLD, AND THE LIKELIHOOD OF A THAW IN INTERNATIONAL RELATIONS, CAN THE SLEEPING GIANT NOW BEGIN TO EXERT A POWERFUL INFLUENCE ON GLOBAL MARKETS? WHAT WOULD BE THE IMPACT OF THIS NEW ORDER ON LOCAL ECONOMIES AND TRADE? VICKI CONNOLLY ASSESSES THE LATEST DEVELOPMENTS…

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GLOBAL MEETS LOCAL

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GLOBAL MEETS LOCAL

THIS RETURN MIGHT BE A GOOD DEAL EASIER THAN MANY IMAGINE: TRADITIONALLY, THE FINANCIAL AND BANKING INSTITUTIONS OF THE GULF HAVE HAD A LONG HISTORY OF TRADE WITH IRAN.

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Of any of the industries that can truly be said to be foundation stones of the global economy, the oil and gas sector is perhaps the one with the largest influence on market values and international trade. With the warming-up of relations and the (albeit currently marginal) lifting of the harsher aspects of the CISADA sanctions, it’s likely that we will soon see Iran return to its former role as a primary shaper of that global sector. This return might be a good deal easier than many imagine: traditionally, the financial and banking institutions of the Gulf have had a long history of trade with Iran, with Gulf-based finance being used to fill the gaps created by the exit of European lenders. Designed to dissuade Iran from continuing with its nuclear programme, it was originally thought that the sanctions imposed would only impact the Iranian administration. Yet what resulted was a rapid depreciation of the Rial, unsustainable pressure on the banking system and concern DV LQÀDWLRQ VSLUDOOHG RXW RI FRQWURO All have had debilitating effects not only on the administrative bodies they were designed to impact but also on the general standard of living for the Iranian population. In the first quarter of 2014 following the historic agreement between Iran and world powers in Geneva, Iran began to scale back its most sensitive nuclear development work. The agreement, the first of its nature for over a decade, resulted in the modest relief of trade sanctions and gave Iran access to some of its frozen currency accounts overseas. The lifting of the financial restrictions on Iran has been received with varying degrees of warmth by their neighbours in the Gulf. His Highness Mohammed bin Rashid Al Maktoum, Prime Minister and Vice President of the United Arab Emirates and ruler of Dubai, the emirate with the strongest trade links to Iran, has welcomed the move and believes that the lifting of the embargo will be beneficial

to all involved. However, several of the other Gulf States have said they would prefer to proceed with caution, as they see the embargo as a powerful way to control the expansion of their potentially powerful neighbour. According to the hydrocarbon powerhouse BP “Iran clearly has huge resources despite the fact that its production has been curtailed in recent years. It clearly has a lot of potential, however it is likely to be a very complicated political process.” With European businesses eager to establish a presence back in Iranian markets, companies in France, Holland and Germany have already started to draw up plans for a return to Tehran. Realistic ambition? Iran’s plans for its oil and gas future are ambitious and potentially contentious. The South Pars/North Dome natural gas field is the largest in the world, capable of producing an estimated 1,800 trillion cubic feet (51 trillion cubic metres) of in-situ natural gas and some 50 billion barrels (7.9 billion cubic metres) of natural gas condensates. Control of the field is shared between Iran and Qatar whose support, as the world’s largest exporter of LPG, is essential

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GLOBAL MEETS LOCAL

THE SOUTH PARS/NORTH DOME NATURAL GAS FIELD IS THE LARGEST IN THE WORLD.

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if Iran is to realise its dream of world LPG domination. While Iran has the potential to produce more natural gas than Qatar, it has over 78 million domestic users it must supply with heat, power food and fuel. This high level of domestic demand, together with oil and gas facilities that are in desperate need of modernisation, an antiquated business law system and the remaining financial sanctions being off-putting to European investors, without the support of their neighbours in the Gulf, Iran may struggle to realise its hydrocarbon dreams. Such obstacles however daunting do not seem to be influencing the ambitious targets set by the Iranian government. In terms of oil production by 2018 Iran aims to double its daily output per day with a target figure of 5.7 m barrels of crude, current daily production figures hover at around 3 million bpd. There are also plans to go ahead with the development of the vast natural gas reserves Iran shares with Qatar with government plans to invest almost US$14 billion in the development of the oil and gas fields. In terms of attracting a market for such resources Iran’s foreign

minister Mohammad-Javad Zarif is confident that his country can deliver as promised and following the recent unrest in the Ukraine he goes as far as to offer Iran as a replacement for Russia as Europe’s main long term gas supplier. “Gas exports is a priority of the government” states an official from the Ministry of Foreign Affairs. The exporting of natural gas is capital intensive and with long payback periods. Re-entering the market is not to be taken lightly. Major European players such as France’s Total, Anglo Dutch Shell and Italy’s Eni - while showing signs of being keen to get back in business - are for now at least, cautious and adopting a wait and see approach until the remaining sanctions are lifted permanently. Meanwhile, the technical problems and contractual issues that surround the country’s plans to re-enter and dominate the oil and gas market means that without the help of its closest Gulf neighbours, Iran’s plans for a hydrocarbon renaissance may remain the stuff of dreams. For an online version, please visit: www.smeadvisor.com/2014/05/ahydrocarbon-renaissance-for-iran/

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COUNTRY FOCUS

THE VIRTUAL REALITY HOW QATAR-BASED DOTCOMS ARE A FORCE TO BE RECKONED WITH

Everyone knows that Qatar is a fossil-fuel colossus, with export capabilities that are the envy of the world. Yet all too little attention is paid to the virtual sector, where dotcoms are riding on the back of almost unparalleled levels of connectivity and innovation. Associate Editor Vicki Connolly looks at the sparkling business opportunities that this powerhouse SME sector can offer and how it is at the forefront of the ‘new wave’ of commercial life in Qatar.

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COUNTRY FOCUS

Did you know that on average, a household in Qatar owns three mobile phones, two computers, and one smartphone? Residents of Qatar are more connected to the internet than almost any other country in the world. At 88.1 per cent, Qatar ranks first in the developing world in terms of percentage of individuals using the internet and second only to the Republic of Korea (97 per cent) for percentage of households with access to the World Wide Web. Qatar is also ranked 10th worldwide in terms of numbers of individuals using the internet, meaning that people in the state are not just connected at home, but also at work, and on their smartphones, laptops and iPads. Qatar has created an exceptionally well-developed communications infrastructure under the guidance of the Supreme

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Council for Communication and Information Technology (ictQATAR). Internet availability continues to grow exponentially, having increased from just 3.6 per cent of the population in 2000, 51.8 per cent in 2010 and up to an impressive 86 per cent in 2011. It would seem that the development of Qatar’s virtual infrastructure is well on its way to supporting the diversified, knowledge based economy that the government is ambitiously working towards as part of its QNV 2030 strategic plan. The state supports the application of knowledge as a key source of long-term economic growth by dedicating 2.5 per cent of national GDP to Research & Development projects , reflecting the increasingly important contribution of Qatari organisations who acquire, create, disseminate, and use knowledge more effectively for greater economic and social development.

RESIDENTS OF QATAR ARE MORE CONNECTED TO THE INTERNET THAN ALMOST ANY OTHER COUNTRY IN THE WORLD.

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COUNTRY FOCUS

WITH THE DIGITAL ECONOMY DEVELOPING RAPIDLY WORLDWIDE, NEW TECHNOLOGICAL TRENDS, SUCH AS MOBILE AND SOCIAL SOLUTIONS, CLOUD COMPUTING AND DATA ANALYTICS ARE BEGINNING TO OFFER A NEW RANGE OF OPPORTUNITIES FOR BUSINESS SERVICES IN THE KNOWLEDGE ECONOMY.

“Qatar continues to make great headway toward a truly digital future for all of its people,” said Dr. Hessa Al-Jabar, ictQATAR’s Secretary General. “Technology has the incredible capacity to inspire and propel change, innovation, and the progress necessary to ensure a competitive knowledge-based economy that will enrich the lives of all members of society.” Compared to other countries, Qatar has very high internet penetration per head of population - a rate that is among the best in the Arab region and easily completes with ICT-advanced countries like South Korea and the UK. With plans already in place to increase fixed broadband penetration by the end of

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2015 and the installation of highspeed fibre internet across the country, the population of Qatar are starting to connect en mass to an influential assortment of business and social networks. New opportunities With the digital economy developing rapidly worldwide, new technological trends, such as mobile and social solutions, cloud computing and data analytics are beginning to offer a new range of opportunities for business services in the knowledge economy. How well and how quickly Qatar-based SMEs adopt digital technologies will be a key determinant of growth in future years.

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COUNTRY FOCUS

DIGITAL ENTREPRENEURSHIP EMBRACES ALL NEW VENTURES AND IS ALSO RESPONSIBLE FOR THE TRANSFORMATION OF EXISTING BUSINESSES THROUGH THE CREATION AND EMPLOYMENT OF NEW DIGITAL TECHNOLOGIES.

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Digital entrepreneurship embraces all new ventures and is also responsible for the transformation of existing businesses through the creation and employment of new digital technologies. Such enterprises are characterised by a high intensity of utilisation of technologies (particularly social, big data, mobile and cloud solutions) to improve business operations, invent new business models, sharpen business intelligence, and engage with customers and stakeholders. They create the jobs and growth opportunities of the future and are a fundamental part of the development of Qatar’s economy beyond oil and gas. One Qatar based entrepreneur who has embraced the digital revolution and become a champion for technology-based entrepreneurship is Khalifa Saleh Al Haroon. A Law graduate turned investment banker turned online specialist, Khalifa is currently working with Vodafone Qatar as Head of Interactive and Innovation with his specialist subject being social media and networking. Well known for being the brains behind ILoveQatar.net (ILQ), a guide to everything Qatari for expats, locals, and tourists, Khalifa’s passion and commitment to making Qatar a better place has turned the network into a brand that people trust and regularly interact with. ILQ has evolved into a platform that gives people a voice as well as bridging the gap between the different cultures that coexist in the region. One of the things that makes ILQ unique is the fact that the company spends the majority of the profit generated by the network to support the community that has helped them to grow as well as other Qatar based charitable causes. Today, the ILQ network has seven different websites, each with its own focus bringing people together with one common goal, the sharing of ideas and

information to make Qatar a better place for all sectors of society. Creating brands Khalifa is passionate about supporting business start-ups and promoting the importance of effective partnerships between companies both domestically and internationally. As the founding member of the investment company H.U.G (The Haroon United Group) Khalifa and his partners are committed to creating brands that not only cater to the needs of the local population, but that also promote a positive image of Qatar. With an investment portfolio that includes both international brands such as King Koil and home grown businesses such as MiCasa and HUG properties, the HUG partnership is going from strength to strength with their main objective being the promotion of the positive aspects of life in Qatar. Khalifa Al Haroon’s commitment to supporting digital based SMEs in the region is impressive. As a board member of the Entrepreneurs’ Organization of Qatar, The Internet Society (ISOC) and winner of Entrepreneur of the Year for 2011, Khalifa’s background is dynamic and progressive. His hard work and dedication to the cause have enabled both Khalifa and his partners to make a significant impact in the development of a locally based digital business environment. Removed from the constraints of geographical and cultural differences, Khalifa and young entrepreneurs like him look set to play a major role in the brave new digital world that Qatar is rapidly becoming.

For an online version, please visit: www.smeadvisor.com/2014/06/thevirtual-reality/

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STRATEGY

CAN THE WORLD CUP HELP YOUR COMPANY? THE FIFA WORLD CUP 2014 IN BRAZIL MAY BRING A LOT OF GOOD THINGS NOT JUST FOR FOOTBALL FANATICS BUT ALSO FOR BUSINESSES WHO WANT TO TAKE ADVANTAGE OF THIS MUCH AWAITED EVENT. DR. ASHRAF MAHATE, HEAD, MARKET INTELLIGENCE, DUBAI EXPORTS GIVES US AN IDEA ON HOW EXPORTERS CAN BENEFIT FROM EVENTS LIKE THESE.

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The countdown has started for the most celebrated sports event this year namely the football World Cup in Brazil. It is expected that Brazil will see an increase in 3.7 million visitors this year due to the World Cup. In addition to this, hundreds of millions of football fans around the world will be glued to their screens supporting their favourite team. Therefore, it is no wonder that businesses have signed up to support the World Cup and get their brand globally recognised. The question is what the World Cup mean for small businesses that do not have the same UHVRXUFHV DV ODUJHU ¿UPV" 7KH ¿UVW point is that one-off events such as the World Cup are an excellent opportunity for SMEs to start exporting and it’s never too late to start. Although, the World Cup may be just around the corner there’s still the 2016 Olympics that Brazil will also be hosting. SMEs need to believe in themselves when looking to expand into foreign markets and not to think that it’s the preserve of large companies. The idea that SMEs consider the global market rather than their domestic one has UHFHLYHG VLJQL¿FDQW DWWHQWLRQ RYHU the years not only from academics but also from policy makers. There is considerable evidence to suggest that companies which think globally behave very differently from those that have only the domestic market

THERE IS CONSIDERABLE EVIDENCE TO SUGGEST THAT COMPANIES WHICH THINK GLOBALLY BEHAVE VERY DIFFERENTLY FROM THOSE THAT HAVE ONLY THE DOMESTIC MARKET VIEWPOINT. viewpoint. More importantly, DQHFGRWDO HYLGHQFH VXJJHVWV WKDW ¿UPV which target the global market place tend to have a much higher survival rate compared to those that are domestically focused. Utilising the internet In today’s technologically advanced world companies do not need to spend large sums of money for publicity or to capitalise on one-off events. The internet has changed the manner LQ ZKLFK ¿UPV RSHUDWH DQG WKH opportunities that it offers to SMEs. In a short span of time, the internet has

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STRATEGY

also changed the manner in which we communicate. The internet has been a communication tool like no other and it has allowed the world to be truly international or global. The internet is now an important source of information at schools, homes and especially in the world of business. The limited boundaries or restrictions LQ WKH XVH RI WKH ,QWHUQHW KDV PHDQW that it is accessible to everyone and as such, it is truly an example of mass media. With a relatively small investment, the internet is available to businesses regardless of the size or location. Therefore, it is no surprise

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that the usage and content of the internet has grown tremendously over the last 15 years. Studies show that in 1994 there were only 4.8 million websites on the internet. Most of these sites were located in the USA and were of course in English. Today there are over 50 million websites in a whole host of languages and now even with nonEnglish website names. With the advance of technology, the number of internet users has increased from 16 million or 0.5 per cent of the global population in 1995 to current level of 1,661 million or 25 per cent of world

population. Current forecasts indicate that the growth in internet usage is expected to continue to increase in the foreseeable future. For SMEs these trends bring new opportunities especially as the business-to-business (B2B) trade in goods on the internet is expected to double annually. At the turn of this millennium, B2B sales on the internet were US$ 43 billion which only three years later were US$ 1.3 trillion and currently run into tens of trillions. Similarly, business-to-consumer (B2C) internet sales were just US$ 8 billion in 2000 and today in excess of US$ 1 trillion. B2B commerce represents an important avenue for SMEs to capitalise on overseas opportunities. At the same time, the internet allows SMEs to compensate for their inherent weaknesses in exporting such as market research and overseas promotion. The internet allows SMEs ZLWK OLPLWHG ¿QDQFLDO DQG KXPDQ capital to support export marketing activities in a number of ways. Another solution for SMEs looking WR ¿QG D ORZ FRVW DQG UHVRXUFH OLJKW entry into foreign markets is through strategic partnerships especially with ¿UPV WKDW DUH DOUHDG\ SUHVHQW LQ WKH target market. Essentially strategic partnerships or alliances is a longterm arrangement between two or more companies to position either an existing or new product or service in a GH¿QHG JHRJUDSKLFDO DUHD ,Q GRLQJ VR it is intended that at least one party in the relationship is able to reduce its costs. Although, cost minimisation is LPSRUWDQW LW LV QRW WKH RQO\ GH¿QLQJ factor in a partnership, the long-term value growth is equally important. ,Q RWKHU ZRUGV WKH DLP RI WKH SDUWQHUVKLS LV IRU WKH ¿UPV WR FRPH together in order to capitalise on their relative strengths. Be true to your brand One-off events such as the World Cup present an ideal opportunity for SMEs to increase their sales, even carry out

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STRATEGY

COMPANIES NEED TO BE CONSISTENT IN THEIR ACTIVITIES AND MARKETING MESSAGES AND CONSIDER THE SENSIBILITIES OF THE CUSTOMERS.

product development so as to enhance their existing portfolio or even test new products. Although the winners from one-off events tend to be the usual suspects such as the memorabilia, retailing and hospitality industries, it should not stop others from also cashing in on the occasion. One-off events allow SMEs to be innovative in their marketing/advertising material and messages without the liability of a huge expense bill. More importantly, it allows SMEs to consider entering foreign markets with the knowledge that their product range is targeted towards a particular event. As such this reduces the risks involved in foreign entry as well as lowering the costs of advertising and marketing because the event itself is a great attraction. Events like these do offer opportunities for SMEs but they also have risks attached to them. For instance, the SME needs to contemplate on the possible impact of attaching itself to a particular one-off event on its brand image. As interesting or effective as using a one-off event may be in increasing sales, the SME owner needs to understand that they need to be true to their brand. The incentive of increasing a short revenue stream should not detract a company away from its core motivation and way of doing business. Companies need to be consistent in their activities and marketing messages and consider the sensibilities of the customers. If coming up with weird yet wonderful

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promotions is something that the customers associate with the company then it is usually accepted by marketplace. However, if the customers feel that such tactics cheapen the product or service, then it may have long term implications for the company. Therefore, before cashing in on one-off events, a company needs to carefully think about how to properly execute this and consider how it is going to be received by the public. One-off events also have the challenge that the company may not be able to accurately predict demand, hence it may pose issues with customer service and the likes. Predicting demand becomes a SDUWLFXODUO\ VLJQL¿FDQW SUREOHP IRU businesses which are located close to the actual event. One way of dealing with the level of uncertainty is to use proxy measures to estimate the likely demand. Typical proxy measures tend to be the impact of similar historical events on businesses in general and those in the same line of activity. The importance of being prepared for these one-off events cannot be understated, as any compromise on either the service or the actual product may hinder future business. This is more so the case if the FXVWRPHU LV D ¾¿UVW WLPHUœ $OVR DV any business owner knows one happy customer is the best advert that it can possibly have while a disappointed FXVWRPHU PD\ KDYH D VLJQL¿FDQW damage the business. Therefore, the golden rule behind one-off events is to plan properly and to ensure that the company is consistent in its messages, services as well as its products.

Dr. Mahate received his doctorate from Cass City University Business School in London (UK). He read Economics at University College London, followed by a Masters in International Economics and Banking at the University of Wales in Cardiff. Dr. Mahate is a professional educator and received his training at the Institute of Education (University of London). He is a member of the Chartered Institute of Managers (UK) and a Member of the Institute of Commercial Management (UK). He is also a member of the Association of &HUWLĹľHG $QWL 0RQH\ Laundering Specialists (ACAMS). He can be reached at ashraf.mahate@ dedc.gov.ae.

For an online version, please visit: www.smeadvisor.com/2014/05/can-theworld-cup-help-your-company/

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VIP INTERVIEW

“WE BELIEVE IN DOING THINGS BETTER, QUICKER AND SMARTER.”

THIS IS THE POWERFUL AND PRACTICAL MANTRA OF STEVEN SPETER, MANAGING DIRECTOR OF PROCUREMENT SPECIALISTS 36 STRATEGIES. THE FACT IS THAT EFFECTIVE AND STREAMLINED PROCUREMENT IS A POWERFUL TOOL FOR SUPERCHARGING BUSINESS PERFORMANCE - NOT TO MENTION SAVING MONEY AND TIME - AND IT’S A DISCIPLINE THAT CAN HELP YOU BUILD A FIRM FOUNDATION FOR YOUR GOVERNANCE AND QUALITY CONTROLS. TRADE & EXPORT SPOKE TO THE EXPERTS ABOUT THE BENEFITS OF PUTTING THE RIGHT PROCUREMENT STRUCTURE IN PLACE. 70

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VIP INTERVIEW

YOU HAVE TO REVIEW AND ADJUST YOUR PROCUREMENT POLICIES TO SUPPORT THE BUSINESS, NOT KEEP PROCEDURES IN PLACE JUST FOR THE SAKE OF THEM.

Steven Speter, Managing Director, 36 Strategies

The reality is that, procurement is likely the second highest operating cost component for any business and using traditional procurement methods, it will cost about AED 275.00 to raise a single Purchase Order – this equates to AED 16,500 a day for the average SME in the Middle East! A classic example of time and money being wasted. Plus, the speed, cost and effectiveness of the procurement model you’re using will effect – <RXU DELOLW\ WR VHFXUH WKH NH\ LWHPV the business needs to execute its core tasks successfully. <RXU EXVLQHVV¶ SURILWDELOLW\ DQG running costs. ,WV DELOLW\ WR UHWDLQ FXVWRPHUV DQG effectively service key project work. <HW PRVW EXVLQHVVHV NQRZ DW OHDVW a percentage of these challenges all too well. So what are the alternatives for securing a better-aligned and cost-efficient procurement model? Steven Speter comments that: “Our company - 36 Strategies - was founded with the specific intention of helping businesses optimise their procurement model and then capitalise on the financial rewards that it will bring. We work with companies in two (related) ways: either we can effectively become their procurement department, or we can provide a fresh, comprehensive model that makes the procurement path relevant and cost-effective.

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“The services we provide follow internationally-recognised quality standards and benchmarking: for example, we use the ‘Six Sigma’ methodology and provide solutions XVLQJ ,62 FHUWLILHG FRPSRQHQWV How does it help to have a procurement process that follows a Six Sigma methodology? Because it allows you to understand and put a cost to every single part of the procurement process - simple as that. But how many businesses can say categorically that this is what they are leveraging at the moment? 36S practice what they preach working with their business partners on a ‘pay as you go’ model, so you don’t waste any money if something isn’t helping streamline your operations in the way you might wish. The overall goal of our service is to give you the benefit of a comprehensive overview and understanding of your business. That means you will have all the tools you need to make informed and effective business decisions.” The reality: +LGGHQ FRVWV DQG LQḢFLHQFLHV in the procurement pipeline Steven Speter believes that one of the core issues with procurement is that very few managers are actually aware of how complex their own company’s procurement structures are - and how much time and effort they’re currently wasting. “One of the worst aspects of this over-complexity is that

it can easily lead to a lack of trust in the supply chain and the belief that, whatever you need, it probably won’t be delivered in time. This then results in people turning to petty cash and maverick spending which leaves WKH FRPSDQ\ OHDNLQJ FRVWV ,W¶V QRW uncommon to find petty cash losses, incurred in this way, running to tens of thousands of dirhams, for example. All of which is a response to the fact that many internal processes include unnecessary tie-up of resources, which in themselves not only cost a good deal of money, but also increase lead time and the risk of out-of-stock situations. “Moreover, the macro view here is that one of the key issues when it comes to procurement in the Middle East and GCC is the fact that it can be extremely challenging ensuring that all the operational procedures, guidelines and policies which exist in theory are actually executed. And if those policies do not support the real business needs you only amplify the problem. <RX KDYH WR UHYLHZ DQG DGMXVW \RXU procurement policies to support the business, not keep procedures in place just for the sake of them. “Tackling that dilemma can make a huge difference to the efficiency - and above all, the effectiveness with which a company works. For example, if we look at the whole procurement cycle - from when the purchase requisition is first made, right through to when the purchase

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VIP INTERVIEW

BEING ABLE TO SET UP AN EFFICIENT PROCESS FROM THE GET-GO CAN BE A COMPETITIVE ADVANTAGE, NOT JUST IN TERMS OF COST, BUT ALSO VERY MUCH IN TERMS OF GETTING THE RIGHT PRODUCTS TO MARKET AT THE RIGHT SPEED. order is issued to the supplier - we have a track record of reducing cycle time by an average of 38 per cent. We also achieve an average saving of between 10 and 14 per cent on procurement cost - in many cases, much more. A classic example of this is the benefit that will accrue if we help you source an affordable, good quality supplier and set up a framework agreement with them. This means, for instance, that you won’t have to go through the procurement process again and again each time you’re sourcing the same item. It makes good sense for us to find your business a raft of similarly reliable suppliers and have strong framework agreements with each. As you can see, it pays if you get to know and properly understand your current procurement process.â€? Business  process  optimization  DQG VLPSOLÂżFDWLRQ XVLQJ FXWWLQJ edge  technology “If we work with youâ€?, says Steve, “to assess and re-model your overall procurement strategy, one of the first things we do is conduct a ‘Procureto-Pay (P2P) Health Check’. This a business optimization model where we quite literally draw a diagram of the complete procurement cycle, what happens when, and why. The outcome

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of this is a process map which covers all stakeholders and processes and starts by identifying the need to purchase a product, following the cycle right through until the supplier gets paid. We’ll also use the available operational data to measure how efficient the existing P2P is - this allows us to understand the requirements unique to the company and helps us propose a bespoke, effective procurement solution. “When we show the Optimization model to stakeholders, they are often amazed at how over-complex the whole process is: viewed graphically in this way, it’s much easier to see where work is being replicated and where unnecessary cost is being added. “The P2P Health Check is in fact part of our procurement consulting work, and when we then go on to implement a working framework for you, it will use our advance eProcurement platform. This makes the purchase order process entirely paperless and mobile, significantly cutting down the lead time. It also gives visibility to procurement spending and efficiency, and removes margins for error. What’s more, you’ll have a powerful tool for tracking supplier performance - which in turn will enable you to have fact-based negotiations with suppliers, ensuring you only pay for the level of service you actually receive. “I should also add that there’s nothing ‘technical’ about how this eProcurement platform looks - it’s extremely user-friendly, multi-lingual with clear pictures and specifications for everything that you will need to order. Whilst the system delivers the corporate governance of an ERP system, many customers have said it’s comparable to a consumer website not what you might expect at all!â€? Outsource  sourcing  and  procurement  for  ultimate  convenience Steve continues: “We are the only procurement solutions provider in the Middle East - and as you will have

gathered, we want to take procurement in the region to the next level by setting up streamlined processes DQG H[HFXWLQJ WKHP DV HIÂżFLHQWO\ as possible. For us, that means we utilise cutting-edge, Cloud-based technology to automate and digitize, boosting client capability wherever ZH FDQ :KHQ PDQ\ FRPSDQLHV ÂżUVW DUULYH LQ WKH *&& WKH\ ÂżQG WKDW WKHLU usual procurement processes are slowed down dramatically, because they require local market intelligence - and that’s very labour-intensive to EXLOG %HLQJ DEOH WR VHW XS DQ HIÂżFLHQW process from the get-go can be a competitive advantage, not just in terms of cost, but also very much in terms of getting the right products to market at the right speed. “This is where our Sourcing Consulting comes into play. We can effectively become your procurement department. We can help you find the right suppliers and products and establish your framework agreement - as well as managing the supplier to ensure on-time delivery. Taking over these tasks means we can make procurement as easy as possible for our business partners. We can work in a way that’s perfectly aligned with your own Governance criteria - and in fact, can help you leverage a higher quality specification if that is one of your goals. This in turn can be a compelling tool for building customer retention and preventing attrition or erosion of your base price list. While it’s true that time is money, so too is quality of performance: and it’s definitely worth maximising the contribution made by something as core as the procurement function.â€?

For an online version, please visit: www.smeadvisor.com/2014/05/webelieve-in-doing-things-better-quickerand-smarter/

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FINANCE

MONEY MATTERS THE WESTERN UNION BUSINESS SOLUTIONS TEAM GIVES US AN UPDATE ON THE MOVEMENTS IN THE THREE CURRENCIES – USD, EUR AND GBP TO HELP YOU TRADE BETTER IN JUNE 2014.

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USD: United States Joe Manimbo, Senior Market Analyst, Washington, D.C. The greenback has shown some poise recently and should find opportunity to advance further in June. Let’s face it, though, the Dollar has disappointed many who had bet on a breakout year for the greenback. A meaningful Dollar rally has so far failed to take shape, as the economy has been slow to rebound from a harsh winter of frigid temperatures. The resulting slow thaw for the economy hasn’t put much pressure on the Federal Reserve (Fed) to boost borrowing rates, which has held back the Dollar’s potential. Although a stronger Dollar narrative may be a story for the second half of this year, when the economy is expected to regain its footing, don’t dismiss the chance of solid gains over the month of June. A potential driver of Dollar appreciation is seen in the European Central Bank’s (ECB’s) June 5 meeting. Markets are anticipating some sort of action by the 18-nation central bank to tackle low inflation. Bold, bazooka-caliber action could go some way in toppling the Euro from recent peaks near USD 1.40 against the greenback. For that to happen, though, the ECB would have to exceed already priced-in dovish expectations. A rate cut or even the introduction of negative deposit rates would weigh on the Euro to the benefit of the greenback. But to really dent the Euro, the ECB would likely have to resort to Fed-like quantitative easing

(QE) and add to its balance sheet. The bolder the action, the better chance the Euro would have at testing lows for the year around USD 1.3475. On the home front, the Dollar will look for catalysts in the government’s monthly jobs report which comes due the day after the ECB’s June 5 meeting. Another month of 200,000plus job growth would be constructive for the buck. But the quality of the jobs data will be key, too. In addition to job gains, markets want to see growth in wages that could set the economy up for more meaningful consumer spending in the months ahead. Keep a watchful eye on unemployment. The jobless rate fell to a September 2008 low of 6.3 per cent in April, but mainly because people left the workforce. 0DUNHWV ZLOO ¿QG DQRWKHU 'ROODU LQÀXHQFLQJ HYHQW LQ WKH )HG¶V PHHWLQJ on June 17–18. The Fed is expected to keep scaling back stimulus. Moreover, this gathering will include fresh central bank economic forecasts and a press EULH¿QJ E\ )HG &KDLU -DQHW <HOOHQ For the Dollar to get a rise out of the Fed, bankers would have to hint at a possibility of raising interest rates before current forecasts of around the middle of 2015. Economic Indicators 3-month deposit rate (LIBOR): 0.23% (May 22) GDP annual growth rate: 2.30% (Q1) y>Ì \ Ó°ä¯ ­Ƃ«À ® 1 i « Þ i Ì\ È°Îä¯ ­Ƃ«À ® Trade balance: -USD 4.04 billion (March)

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FINANCE

MARKETS WILL FIND ANOTHER DOLLARINFLUENCING EVENT IN THE FED’S MEETING ON JUNE 17–18.

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FINANCE

BOND YIELDS ON PERIPHERAL EUROZONE GOVERNMENT DEBT OFFER SOME OF THE BEST RETURNS IN THE WORLD, GIVEN INFLATION EXPECTATIONS.

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EUR ECB policy announcement critical for June outlook

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FINANCE

STERLING REMAINS A MARKET FAVOURITE AS STEADY EVIDENCE OF A STRENGTHENING BRITISH ECONOMY HAS MANY BETTING ON A SOMEWHAT EARLY RATE HIKE BY THE BANK OF ENGLAND.

Upcoming critical events June 13: Trade balance (April) June 20: Flash consumer sentiment (June) June 23: Markit Flash PMI surveys(June) June 27: Ifo Business Climate Index (June)

Economic Indicators 3-month deposit rate (Euribor): 0.319% (May 22) Gross domestic product annual growth rate: 0.90% (Q1) ˜y>ĂŒÂˆÂœÂ˜ Ă€>ĂŒi\ ä°Ă‡ä¯ ­Ć‚ÂŤĂ€ÂˆÂ?ÂŽ Unemployment rate: 11.8% (March) Trade balance: EUR 17.1 billion (March)

GBP The British Pound remained sound after all but touching USD 1.70 versus WKH 'ROODU LQ 0D\ LWV EHVW LQ QHDUO\ ¿YH \HDUV ZKLOH LW UDOOLHG WR ¿YH DQG D KDOI year peaks on a trade-weighted basis. Sterling remains a market favourite as steady evidence of a strengthening British economy has many betting on a somewhat early rate hike by the Bank of England. What really drives currencies is the perceived road ahead for central bank policy. That’s been a boon for the Pound as the BOE has forecast a rate rise some time during WKH ¿UVW KDOI RI 7KH (XUR RQ WKH other hand, has come under recent attack amid growing expectations for the European Central Bank to deploy bolder stimulus as early as June. With Britain leaning towards tighter stimulus and its Euro rival favoring looser policy, EURGBP weakened in May to 17-month lows. Should one expect more runaway strength in the Pound this month? Maybe. The key will be the UK economy where unemployment is UXQQLQJ DW D ¿YH \HDU ORZ RI SHU cent and leading services and retail sectors have gained momentum. But perhaps standing in the way of more meaningful strength for the

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Pound may be the Pound itself. As some sectors of the economy continue WR JDLQ PRPHQWXP LQĂ€DWLRQ KDV moved below the BOE’s 2 per cent comfort zone. Moreover, a strong 3RXQG FDQ FRPSRXQG ZHDNHU LQĂ€DWLRQ growth by depressing the cost of LPSRUWHG JRRGV WKH ORQJHU LQĂ€DWLRQ undershoots, the less pressure the central bank would feel to raise borrowing rates, a less hawkish view that would leave the Pound vulnerable to a pullback as markets push out forecasts for a rate hike. Over the course of June, Sterling will have to contend with the latest economic developments at home and abroad. And the catalysts from overseas could prove daunting with market eyes on the ECB’s June 5 meeting and the next day’s STERLING employment report. Should the ECB opt for ‘bazooka-caliber’ action, such as negative rates or Fed-like quantitative easing, downside risks for the Pound against the Euro should prove limited. But another month of robust STERLING job growth would open the door to greater downside risks for Sterling against the greenback. A healthier STERLING job market could see the BOE in a footrace against the Fed to boost interest rates. Critical data June 4: GB CIPS Services PMI (May) June 5: GB BOE MPC Meeting June 6: GB Trade Balance (April) June 11: GB Unemployment (April) June 17: GB CPI (May)

Economic Indicators 3-month deposit: 0.55% GDP: 0.8% Q1 (q/q) ˜y>ĂŒÂˆÂœÂ˜\ £°nÂŻ ­Ć‚ÂŤĂ€ÂˆÂ?ÂŽ Unemployment: 6.8% (March) Trade balance: -USD 172.6 (February)

For an online version, please visit: www.smeadvisor.com/2014/05/moneymatters/

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EVENT SPOTLIGHT

MEET YOUR TECHNOLOGY PARTNER In a landmark occasion for the UAE business community, TeknoPark - Yildiz Technical University, Istanbul, and Trade and Export joined IRUFHV WR KRVW D KLJK SURŵOH networking evening – Tekno Turkey Connect event.

On May 20, 2014, Tekno Turkey Connect – powered by TeknoPark Yildiz Technical University, Istanbul, and Trade and Export Middle East magazine – provided the perfect platform for companies in the UAE to meet and network with potential technology partners from TeknoPark Istanbul. Held at the prestigious venue of Fairmont The Palm in Dubai, Tekno Turkey Connect introduced the frontrunners in the field of technology and presented a chance for the visiting companies to forge long-term business relationships in the UAE. Technology has been a major driver of business performance in the UAE. Recently, the World Economic Forum ranked the UAE as one of the most tech-savvy nations in the

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world. That’s not all. Earlier this year, reports predicted that IT spending in the UAE will increase 8.3 per cent year-on-year to reach US$ 4.36 billion in 2014. Recognising this potential for growth, the event unveiled the strong business proposition of TeknoPark - Yildiz Technical University, which is one of the leading technology development regions in Istanbul.

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EVENT SPOTLIGHT

Attendees enjoyed a fair overview of the free zone and its reputation for unrivalled innovation and excellence. In his welcome address, Chris Stevenson, Commercial Director, Business Division, CPI Media Group, said: “TeknoPark has already raised the bar internationally in terms of its significant role in sectors such as aerospace, aviation, energy, health and defence - its client businesses are pre-eminent in their fields. It’s a place that prides itself on the ability to turn high-end break-throughs into practical and relevant products; that provides a truly world-class facility, with resources and networking opportunities second to none; and which is dedicated to sharing knowledge and resources with the very best international partners.” The event was also successful in highlighting the fact that Turkey and the UAE are very much aligned in that they are both outstanding economic success stories. The countries show what’s absolutely best about this region and have governments committed to progress and the highest achievements in every sphere of life. Dr. Mahmut Karaman, General Manager, TeknoPark, shared his plans of establishing a branch in Dubai with an aim to develop and promote ICT products and solutions of the companies from Istanbul within the region. The champions of technological growth Amongst the companies from TeknoPark that were present during the networking evening were: Done Communication and Information Systems, a pioneer in developing high-tech mobile applications and services; Pordiva Information Technologies, a software agency developing innovative softwares in mobile and web technologies; Vendeka ITS, a developer of RFID system projects and solutions in Turkey; Ardela Technologies, a software company specialising in Mobile ‘Enterprise Applications’ for

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TEKNOPARK HAS ALREADY RAISED THE BAR INTERNATIONALLY IN TERMS OF ITS SIGNIFICANT ROLE IN SECTORS SUCH AS AEROSPACE, AVIATION, ENERGY, HEALTH AND DEFENCE - ITS CLIENT BUSINESSES ARE PREEMINENT IN THEIR FIELDS. financial, pharmaceutical, automotive and retail sectors; SIGMADEL, a company founded with the purpose of building a telematic device to be used by insurance companies and commercial fleet; Getron, an industry leader in R&D software development; Senkron Yazilim, an organisation specialising in research and development and developing ERP solutions on specific sectors such as F&B and health & wellness. Also present were companies such as IPera Technology Solutions, an R&D company which focuses on developing innovative, ergonomic and cost-effective solutions for the telecommunication sector; etugra, an Electronic Certification Services Provider and an expert on providing e-signature; Crypttech, specialises in the increasingly important field of information security; Minerva, a software company focused on producing ERP and business solutions; Karash, an expert on IT solutions and services on offer for banking and financial institutions; Rintek ARGE, a production-oriented software company which operates in SaaS (Software as a Service) model and a specialist on social media monitoring. For an online version, please visit: www.smeadvisor.com/2014/05/meetyour-technology-partner/

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INSURANCE AND RISK MANAGEMENT

FRESH OPPORTUNITY TRADE CREDIT INSURANCE

,ÂœLiĂ€ĂŒÂœ >ĂƒĂƒ>Ă€Âœ] …ˆiv ˆ˜>˜Vi "vwViĂ€ Âœv Ă•Â?iĂ€ iÀ“iĂƒ

Trade credit insurance is a critical subject for any importexport business and has been gaining traction in the past few years, particularly in this region. In an exclusive interview with Roberto Cassaro, CFO of Euler Hermes GCC, we examine the market landscape and its challenges and opportunities‌

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You were recently appointed as Chief Finance Officer of Euler Hermes GCC. How would you describe the local environment for trade credit when you first came to the GCC?

You have served in other markets, including Madrid, Paris and Rome. In what ways would you say the GCC market is different from the European market?

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INSURANCE AND RISK MANAGEMENT

Credit insurance supports the sustainable growth by helping companies make informed decisions about the level of credit they should offer their customers, identifying those businesses at risk and enabling them to manage their credit risk exposure accordingly, thereby avoiding the negative impact of unexpected bad debts or the need to make a claim.

Here in the region, accounting and credit procedures are still evolving; credit decisions are made largely on the basis of relationships. How do GCC businesses, traders and banks benchmark against their peers in other regions in terms of managing credit and business/ political risk? Indeed, relationships among traders have been there for long and will remain. However, companies should evolve from relationships to the grading of a company in a more structured and sophisticated way as it has been a common practise internationally.

The 2008-2010 global financial crisis followed by the ‘Arab Spring’ affected businesses in the region, leading to financial defaults, insolvencies and bankruptcies. Did these events have any impact on risk appetite and insurance buying in the region? The Arab Spring and international community sanctions on Syria and Iran have redistributed trade dynamics and GCC countries were the first beneficiaries of such events, capturing most of the trade activities thanks to their political stability and

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openness to trade and export. Other factors that I believe are driving the trend for trade credit insurance in the Mena region include increased sensitivity to trade credit risk among CFOs; sustained economic diversification in the GCC countries; and the implementation of Basel III requirements impacting banks’ operations in financing receivables.

There’s no doubt that in the GCC, few companies made use of trade credit insurance in the past, but this has significantly changed, particularly post the global financial crisis. What are your predictions on how the local market will evolve over the next five years? The credit insurance market achieved record premiums book value of US$73 million in 2013 in GCC, with a growth of 25 per cent versus 2012. Euler Hermes GCC is the market leader with a share of 49 per cent in the UAE and 60 per cent in KSA. I expect the same robust growth in the coming years. Corporate insolvencies confirmed the generally expected rise in 2013 (+ two per cent) due to the slowdown in the global economy. This increase, following three consecutive years of decline, nevertheless masks two significant but opposite trends: on the one hand, the continued decline in insolvencies in North America (-11 per cent) and Asia (-four per cent); on the other hand, a rise in Latin American insolvencies (+10 per cent) – albeit from a low level –and particularly in Central and Eastern Europe (+ six per cent) and Western Europe (+ nine per cent), where the number of insolvencies continues to rise in manufacturing (+ three per cent) and construction (+ one per cent), with the exception of Germany and the UK. These two contrasting trends

are expected to moderate in 2014 when the slowdown in emerging economies should be offset by the better outlook in the more advanced countries. Countries experiencing a decline in insolvencies will become the majority in our sample but our Global Insolvencies Index will only show a slight decline (- one per cent) and nearly seven out of 10 countries show a higher level of insolvencies in 2014 than before the 2008 crisis. The insolvency index in the UAE is growing as re-export from the country are further increasing. The GCC and especially the UAE have proven to be very cost-effective on logistics, labour, energy and other trade inputs. The countries optimal strategic location is another factor contributing to an accelerated growth in the volume and value of cross-border trade. This has led the region to become an ideal centre for re-exports. But this also exposes traders to additional risk when trading on open credit terms. These increased levels of risk are boosting demand for trade credit insurance solutions which is precisely what Euler Hermes is able to provide from its offices in Dubai, DIFC, Riyadh and Jeddah. We will raise further awareness about TCI solutions for companies of all sizes in the GCC; UAE, KSA and also Qatar will be the leading countries for the trade credit insurance development.

The Middle East region is only 1.2 per cent of the global trade credit insurance market. Why do you think this is the case? The GCC is underpenetrated but shows a string growth rate. The reasons for this are largely cultural, as there is not much awareness of trade credit insurance and the most common practise is Letter of Credit – which will not be sustainable on the long run due its high cost and time consuming procedure.

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INSURANCE AND RISK MANAGEMENT

The UAE, in particular, is no doubt an international trade hub and a gateway to the wider region and emerging economies such as Africa, Asia and Latin America. Dealing with international companies exposes local traders to potential defaults, insolvencies and bankruptcies of their trading partners. Is trade credit programme structured to help protect businesses, financial institutions and traders against the consequences of defaults, insolvencies and bankruptcies of their trading partners? What role does trade credit programme play in international trade? Euler Hermes is the global leader in trade credit insurance solutions, facilitating trade and exports. Getting paid on time and access to required finance are two major problems traders are facing. Practical and reliable tools linked to the actual economy are needed to tackle these situations. Trade credit insurance is one of these tools as it protects the company against payment defaults and provides companies with a powerful solution to assess new prospects. By assessing and constantly monitoring the risk, credit insurance is able to direct the business of insured companies towards reliable markets and clients that allow the company to achieve stable, long-term growth. The credit insurance policies also enable insured companies to obtain credit lines and related cost effective facilities from banks, which improve the company’s creditworthiness. The major drivers are more information and education by Trade credit insurers; more interest from banks to support us in this business using Trade credit insurance as

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collateral; and the deteriorating global trade environment in the Eurozone, US and China pushing traders and exporters to increase the mitigation of such risks. The GCC has benefited from all these situations. Regional GDP is expected to grow between four to five per cent in 2014 and the political stability and visionary leaders of the UAE, Saudi, Qatar and Kuwait are providing a very fertile environment. We see the GCC as very strategic. Dubai has low cost of labour, convenient energy cost, low taxes, excellent port facilities, infrastructure, logistics and relatively easy bureaucracy – all the elements to make this a worldwide trading hub. And in Mena, the political instability in some areas has heightened risk consciousness. All these factors make the GCC a marvellous opportunity for Trade credit insurance and Euler Hermes.

The cost of credit insurance depends on factors such as location of the business, the industry and the amount of credit given. What are the other pitfalls for trade insurance providers? Firstly, we provide a broad range of policy solutions, depending on the premium the customer is willing to pay for the risk. The cost is based on a risk assessment of the customer portfolio. It depends on the probability of default of the buyers which are the customers of the policy holder, the sector and the political risk associated with the country.

Roberto Cassaro is the Chief )LQDQFH 2IĹľFHU RI (XOHU Hermes GCC since May UHVSRQVLEOH IRU 8$( 6DXGL $UDELD 4DWDU .XZDLW 2PDQ %DKUDLQ DQG (J\SW (XOHU +HUPHV LV VSRQVRUHG LQ WKH 8$( E\ $OOLDQFH ,QVXUDQFH 36& VLQFH DQG LQ FRRSHUDWLRQ ZLWK $OOLDQ] 6DXGL )UDQVL LQ WKH .LQJGRP RI 6DXGL $UDELD VLQFH ,Q KH MRLQHG (XOHU +HUPHV &UÂŤ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ĹśXHQW ,WDOLDQ 6SDQLVK (QJOLVK DQG )UHQFK +H LV PDUULHG DQG KDV D ZRQGHUIXO GDXJKWHU

For an online version, please visit: www.smeadvisor.com/2014/05/freshopportunity/

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