The UAE and Israel signed the CEPA deal earlier this year. The latest agreement sets the stage for broader economic and trade partnerships between the two countries. Image Credit: WAM

Dubai: The UAE and Israel have entered into a historic collaboration to fund a healthcare project in Africa, it was announced on Tuesday.

Etihad Credit Insurance (ECI), the UAE’s federal export credit company, and Israel Export Insurance Corp. Ltd. (Ashra) will fund a Dh540 million healthcare project in Ghana.

The ECI will provide buyer’s credit guarantees to the funding bank, which will see the construction of four hospitals and the first main central medical storage facility in Ghana.

The agreement brings together both countries’ export credit agencies, Ghana’s ministry of finance, a healthcare construction company, and a commercial bank. It also sets the stage for broader economic and trade partnerships following another historic milestone – the signing of the UAE-Israel Comprehensive Economic Partnership Agreement (CEPA).

Ghana’s health ministry awarded the contract to EDC International, a leading Israel engineering and construction company with a presence in the UAE. EDC will execute the project’s second phase with a total value of Dh406 million.

The ECI will provide Dh185 million in reinsurance coverage, accounting for 49 per cent of the total coverage offered for the second phase of the project.

Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade and Deputy Chairman of the ECI’s Board of Directors, said: “The ECI’s efforts will help to boost momentum from our recently signed trade deal with Israel and unlock new trade and investment opportunities across the Middle East, Africa and beyond. In the first quarter of 2022 itself, the total value of non-oil trade between the UAE and Israel exceeded the $1 billion mark, and there’s much more room to grow.”

The agreement was signed by Massimo Falcioni, CEO of ECI, and Nissim Ben Eli, CEO of Ashra.

By partnering with Ashra on this project, Etihad Credit Insurance has also generated Dh185 million worth of economic activity through exports and re-exports of products and services from the UAE.