Euler Hermes targets SMEs

Global risk manager Euler Hermes has said that it has laid out several special packages to target small and medium enterprises, providing them with custom-made risk management tools and credit insurance.

Euler Hermes which made the announcement during a press conference in Dubai and also announced a 54 per cent growth in its GCC portfolio in 2012, and expects the growth momentum to continue in 2013.

Dubai non-oil foreign trade in 2012 stood at Dh1.235 trillion, a 13 per cent increase compared to 2011.

"Companies based in the GCC area are increasingly aware that the uneven global environment requires adopting risk management tools such as credit insurance that can protect financial strength in the long run,” said Massimo Falcioni, CEO, Euler Hermes GCC.

According to him it is not just the multinational companies who require assistance in credit management. “We have solutions in place for SMEs as well,” he said.

Wilfried Verstraete, Chairman of the Board of Management, Euler Hermes Group, said: “While economic difficulties continue in the Eurozone, Euler Hermes investments in growth markets continue to bear fruit. Our global turnover at the end of March 2013 stands at € 619.3 million, up 5% versus the first quarter of 2012. The Middle East together with the Americas and Asia are the primary growth drivers.”

He added that excellent results were also achieved by the MEA region, which recorded 11% growth in Q1 2013 vs. Q1 2012.

“Euler Hermes’s future growth is closely linked to the group’s ability to seize opportunities arising from changes in the global economy, including in the GCC countries,” said Michele Pignotti, head of the company’s MEA region. “The 2013 Euler Hermes development strategy for this region is based on a robust risk appetite and investments to promote credit insurance that protects companies from unpaid invoices.”

During the press briefing Falcioni highlighted the GCC as an important crossroad in new global trade routes, due to its openness to trade.

“GCC countries are actively investing in skilled services and innovative industries to prepare for a future that is less reliant on oil and natural gas reserves,” he said. ”We are ready to support new customers through a multi-channel distribution strategy within the six Gulf countries, leveraging the increased interest and demand for credit protection in domestic and export trade.”

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