JEDDAH — The Government of Dubai and Citi on Saturday launched an innovative two-fold supplier payment mechanism as part of the smart finance solution, providing the government of Dubai with the ability to unlock liquidity and pay suppliers almost immediately. The two-part solution offers a Citi Corporate Purchasing Card (CPC) backed by VISA and a Supply Chain Finance (SCF) working capital management solution. An expected 9,000 local suppliers, mostly small and medium businesses (SMEs), will benefit from the program through a master merchant solution offered by Network International & Invapay, a UK based payment processing company. Khalid Al Kassim, Deputy Director General for Economic Affairs, and Director of Dubai Competitiveness Office which oversees the project, said: “Suppliers are an extension of our business, while building the ecosystem for the private sector is a major focus for us. Therefore, this pioneering initiative by the Dubai Competitiveness Office falls within our efforts to enhance UAE's and Dubai's competitiveness metrics such as government transactional efficiency, level of support for the SMEs, and perpetuity of supplier cash flow.” "The top leadership's pursuit of excellence in all fields regionally and internationally gives us the motivation to work harder to stay in the lead. We're proud to collaborate with the Department of Finance and Citi in developing the Smart Finance Solution, which will be followed by other initiatives all aiming at enhancing the competitiveness position of Dubai as well as the UAE.” “This comprehensive payment solution will help transform the way we pay our suppliers and will play a significant role in offering SMEs improved efficiency and access to liquidity,'' said Jamal Hamed Al Marri, Executive Director Central Accounts, the Department of Finance (DOF). “We are proud to build on the momentum of the ongoing efforts in the region to support local businesses and facilitate their growth. We perceive this project as a vital driving force behind the economic development of the emirate.” Citi's involvement in this program is driven by ‘Citi for Cities,' a global initiative, which aims at transforming and modernizing city infrastructure, supporting economic development and job creation, and enhancing cities' livability. Citi's purchasing card and Supply Chain Finance Solution offer a highly customized structure that will cater to the Government of Dubai supplier segment, especially home grown SMEs. The custom-made solution will facilitate access to liquidity across businesses of all sizes and provide a unique platform for businesses to unlock the full potential of the Smart Finance Solution. “We are very focused on the 150 cities around the world that we believe will shape the future of the global economy in years to come and Dubai is an integral part of this strategy,'' said Atiq Ur Rehman, Citi's Chief Executive Officer for the Middle East and North Africa. — SG
