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The Promissory Note Credit Agreement is a specialized financial instrument used in the United Arab Emirates when extending credit facilities that require enhanced enforceability and negotiability. This hybrid document combines the comprehensive terms of a credit agreement with the legal advantages of a promissory note under UAE law, making it particularly valuable for financial institutions and lenders seeking additional security in their lending arrangements. It is commonly used for both corporate and individual borrowing, providing detailed terms of the credit facility while incorporating an unconditional promise to pay that complies with UAE Federal Law No. 18 of 1993 and Central Bank regulations. The document is especially useful in situations where the lender requires a readily enforceable instrument that can potentially be negotiated or used as security.

1. Parties: Identification of the lender and borrower with full legal names and addresses

2. Background: Context of the credit facility and purpose of the agreement

3. Definitions: Key terms used throughout the agreement

4. Principal Amount and Promise to Pay: Clear statement of the credit amount and unconditional promise to pay as required for promissory notes under UAE law

5. Interest Rate: Specification of interest rate, calculation method, and payment schedule in compliance with UAE Central Bank regulations

6. Payment Terms: Details of repayment schedule, payment methods, and due dates

7. Security and Collateral: Description of any security or collateral provided for the credit facility

8. Events of Default: Circumstances constituting default and consequences thereof

9. Representations and Warranties: Standard declarations by the borrower regarding their capacity and authority

10. Covenants: Ongoing obligations of the borrower during the term of the agreement

11. Governing Law and Jurisdiction: Specification of UAE law as governing law and relevant courts

12. Execution: Signature blocks and execution requirements