The Government of Dubai and Citi have unveiled a two-fold smart finance solution that enables the government to unlock liquidity and pay suppliers instantly.
The two-part supplier payment solution will include a Citi Corporate Purchasing Card (CPC) backed by VISA and a Supply Chain Finance (SCF) working capital management solution.
About 9,000 local suppliers will benefit from the program via a master merchant solution provided by Network International & Invapay, a UK-based payment processing company.
Designed especially for small and medium businesses (SMEs), the payment 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.
It provides a customized structure that will serve the Government of Dubai supplier segment, particularly home grown SMEs.
Dubai Competitiveness Office director and deputy director general for economic affairs Khalid Al Kassim 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 comptetiveness metrics such as government transactional efficiency, level of support for the SMEs, and perpetuity of supplier cash flow.
"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."
Citi Middle East and North Africa CEO Atiq Ur Rehman said: "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."