Date: November 24, 2021
The Arab Federation for Digital Economy and the Union of Arab Banks, operating under the umbrella of the League of Arab States, signed a memorandum of understanding with the Global Alliance for Efficient Logistics (GCEL) to launch the Huma Wealth program. The goal is to stimulate free trade in the Arab region and connect with a broad international network of economic partners. This will, in turn, support the resilience of supply chains, enhance the growth of small and medium-sized enterprises (SMEs), and provide digital frameworks for business-to-business (B2B) trade that are compatible with green economy requirements.
According to the memorandum, the announced program will be implemented through a digital platform that will provide new tools and enablers for the B2B market. This will increase levels of efficiency and transparency, help companies mitigate business risks and lower business costs, and simultaneously provide business financing services and broader access to markets in the Arab world and globally.
Through this platform, the program aims to increase the gross domestic product (GDP) of Arab economies, raise trade in Arab goods and services, and create new job opportunities.
His Excellency Dr. Ali Mohammed Al Khouri, Chairman of the Board of Directors of the Arab Federation for Digital Economy, stated that the program can contribute to providing many services, either free of charge or for a nominal fee, and enable Arab small and medium-sized enterprises (SMEs) to connect with new markets, enhancing their growth and prosperity. He added that the platform will provide accurate, high-quality data and information and make digital trade chains more flexible.
He added that the program team will work with business sectors and governments in Arab countries to take advantage of available opportunities.
His Excellency Wissam Fattouh, Secretary General of the Union of Arab Banks, said, “The Huma Wealth program comes within the framework of an ambitious goal to achieve the goals of digital economic transformation in the Arab region, diversifying its economies and achieving sustainable economic growth.”
He pointed out that the program’s digital platform “will accelerate the steps towards digitizing Arab banks by directly integrating them with businesses, enabling a new wave of financing for SMEs, which are the cornerstone of our economies.” This initiative is expected to provide a global market opportunity worth more than $7.5 trillion for the global banking industry by 2031.”
Mr. Samuel Salloum, CEO of the Global Alliance for Logistics (GCEL), said, “It is important to recognize that despite the strength of the finance, insurance, and e-commerce industries, only 5% of the B2B market is served digitally. Given the global nature of trade, digital solutions cannot be successful if implemented locally, given the potential opportunities available through global networks.”
He added, “To achieve a true transformation in the B2B market, and based on more than 15 years of research and development in the digital economy, we have succeeded in designing an integrated ecosystem that brings together leading technology, e-commerce, finance, and insurance companies to deliver innovative digital solutions and services to the end user, supported by a unique business model.” He noted that strategic agreements have been executed with more than 150 countries around the world.
