Israel-China boost financial protocol by $500 million
Israel and China are expanding by $500 million a protocol that helps to finance Israeli exports to China.
The agreement, signed on Thursday, increases the financing available to $2.6 billion. It comes amid growing business ties between the two countries, as the Israeli government encourages companies to export to the East. China, Israel's second-largest trading partner by dollar value, is also looking at an expansion in bilateral trade, which reached nearly $9 billion last year. The agreement "indicates the success of the protocol in opening the Chinese market to Israeli companies," said Israeli Accountant-General Michal Abadi-Boiangiu. Through the arrangement, Israeli banks offer long-term credit to Chinese importers who purchase equipment from Israeli exporters, transactions that are then guaranteed by the Israeli government. The insurance allows Israeli exporters to successfully compete in the global market, the Finance Ministry said.
