The Loan Market Association has released the results of its members' survey: outlook for the syndicated loan market in 2018. Questions included "How much have the financial regulatory changes over the past five years impacted your business?".
New minister for trade and export promotion, Baroness Rona Fairhead, today announced that UKEF are to launch a new product to support UK exporters and their supply chains. This comes under the export strategy review from the department of international trade.
The value of anti-money laundering (AML) fines issued by the UK's revenues and customs branch, HMRC, has surged 166% this year to more than $1.5 million, suggesting authorities are getting tougher on compliance, according to FortyTwo Data research.
Australian SME lender Waddle has secured $38 million of debt funding from an unnamed investment management firm. The company - which last year started providing invoice financing to SMEs on the Xero platform - also said its lending volume has surged nearly 100% to $22.8 million.
Infosys Finacle, part of EdgeVerve Systems, has unveiled the global availability of Finacle Trade Connect, a blockchain based trade finance solution for banks. The solution will help digitise processes such as validation of ownership, certifying documents and making payments.
Asia-based SMEs that sell online to overseas buyers face a growing challenge accessing finance, especially from traditional sources, according to the eCommerce head of Currenxie, which plans to start offering trade finance to Asia-Pacific businesses selling via Amazon.
Despite a flurry of new kinds of invoice finance, funding receivables based on buyer data will always be safer than doing so based on seller data, given that buyer data helps predict dilution, according to the chief credit officer of Interface Finance.
India's state-run Bank of Baroda has launched a supply chain finance (SCF) solution to offer working capital loans to SME and big corporate clients. The solution will cover pre- and post-shipment products such as dealer or channel finance, vendor finance and payable finance.
Big banks have raised their SME loan approval rates to a new post-recession high, with 25% of SME loan applications green-lighted in October, according to Biz2Credit research. Still, alternative lenders approved 56.8% of SME loan applications, with 42% of those SMEs using AltFin to buy inventory.
Germany's biggest insurer Allianz is to buy the shares in French credit insurance firm Euler Hermes it does not yet own for about €1.85 billion. Allianz has struck a deal to buy 11.3% of Euler Hermes’ stock for €122 per share in cash, taking its holding to 74.3% of shares.
Nigeria-based fintech Linkifin has partnered with South Africa's Propell to provide end-to-end supply chain finance (SCF) solutions across West Africa. The two firms also recently inked an agreement to provide Prime Revenue's SCF platform in South Africa.
The manual processing of supplier invoices is a major burden for UK firms' finance staff, with more than half of those surveyed by Wax Digital saying suppliers often create invoices with incorrect financial values while 37% complain of missing PO numbers.
The Asian Development Bank (ADB) and Deutsche Bank have agreed a $200 million financing deal for SMEs under the ADB's Supply Chain Finance Program. It will support SMEs in Bangladesh, China, India, Sri Lanka and Vietnam that supply United Arab Emirates-based retailer Landmark Group.
Australia will from this week pay its government contractors within 20 days as part of an effort to combat late B2B invoice payments to SME suppliers. The new invoice payment term rules apply to contracts worth up to $1 million and will reportedly affect more than 6,800 firms.
UniCredit has launched its instant payments solution in Italy and Germany. The lender immediately conducted its inaugural instant payment from Germany to Italy. The payment took 2.5 seconds to be completed.
Alternative lender Kabbage has reached a deal with Credit Suisse for a $200 million revolving credit facility and says it will use the funds to offer longer-term credit to SMEs. Kabbage is currently the target of a lawsuit that argues it and partner Celtic Bank tried to evade Massachusetts' usury law.
Effective supply chain management goes beyond shipment tracking and into areas like payments tracking, supplier management and predictive data analytics, according to Elemica. For many industries though, supply chain visibility remains stubbornly elusive.
As corporate demands for faster, more seamless services put banks under pressure to digitise, traditional trade financiers face an uphill struggle caused by their own legacy technology and the growing competition from fintechs.
Cross-border payments provider Currenxie, which counts Chinese technology giant Tencent amongst its clients, has announced the launch of its Trade Finance Solution for Amazon sellers. The service is available in Hong Kong and APAC, with a gradual global rollout planned for the future.
Only 12% of SMEs in the US have used alternative finance to access credit, while 39% have not even heard of it, according to a survey by alternative lender Reliant Funding. The minority of SMEs who do use alternative finance say the length of time accessing bank loans was a key reason.
Insurer Prudential has partnered with Singapore telco StarHub to launch a blockchain-based digital trade platform for SMEs. Called Fasttrack Trade, it will help SMEs find distributors, make payments, track goods and buy insurance, and could be expanded to SMEs outside Singapore.
London-based BlockEx has partnered with Canada's OpenText to develop a blockchain-based marketplace for supply chain finance. The more-than 600,000 companies connected to OpenText's Business Network will have the choice of opting in to the platform.
UK-based Ultimate Finance has launched an accounts payable solution to help SMEs in the food and agriculture industry pay supplier invoices on time. Big data and sophisticated risk management software have made it easier for financiers like Ultimate Finance to address SMEs' financing gap, it says.
B2B fintechs including Indian agricultural supply chain financier FarmLink, German cloud-based transactions and cash flow management platform provider Treasury Intelligence Solutions and Hong Kong-based alternative lender WeLab secured fresh funding last week.
Britain has doubled the amount of export finance it is making available to support UK-Ethiopia bilateral trade to £200 million, Trade Secretary Dr Liam Fox said as he led a UK business delegation to the country.
The US government has taken a number of significant steps to implement sanctions on Russia. Recent guidance offers increased clarity for both US and non-US companies on the government's principal areas of concern and implementation priorities.
Traditional banks are failing to meet UK SMEs' calls that they play a more collaborative role as business advisor - and most banks are aware of this. As a result, 43% of SMEs are considering switching to a challenger bank or fintech, according to a survey by fintech Strands.
International law firm Hill Dickinson has announced that partner Sumeet Malhotra has joined its Singapore office. He previously worked at senior in-house positions at Cargill, and at Noble Group in Singapore, where he dealt with dry shipping matters, commodity trade disputes and transactional matters involving commodity trading and commodity-backed structured trade finance.
Bibby Financial Services (BFS) is providing a $3 million factoring facility to support a US-based global manufacturer and distributor of organic salad dressings. The facility solution will allow the company to ramp up production to meet the 400% sales increase projected for 2018.
Escrow.com has announced that its Platform API is now available in public beta. With escrow, buyers get to inspect the goods or services before accepting them. Likewise, sellers are protected from counterparty risk by no chargebacks.
The International Chamber of Commerce (ICC) Banking Commission's new working group on digitisation explored at its recent 2017 technical meeting in London how digitisation might help the trade finance industry improve transparency, make time and cost savings and cut compliance and operational risk.
Supply chain cash flow has become a major challenge for Toys R Us, with news in September that the toy manufacturer plans to file for bankruptcy, leading suppliers to either stop shipping products to the company or demand cash on delivery.
The Bank of China has started its operations in Pakistan by opening its first branch in Karachi. It is hoped the move will further speed up the pace of trade and economic cooperation between the two countries.
A syndicate of banks, supported by the Export-Import Bank of Korea, has lent $318 million for the purchase of five container ships by CMB Financial Leasing. The vessels will be constructed by Hanjin Heavy Industries and Construction Philippines.
JP Morgan and HSBC are both using SWIFT's Know Your Customer (KYC) Registry in a bid to streamline processes and improve customer experience. The registry is a centralised repository that maintains a standardised set of information about correspondent banks.
At the TXF Cape Town conference in October, Kutoane Kutoane, CEO, Export Credit Insurance Corporation of South Africa (ECIC) took time out to talk with TXF editor-in-chief, Jonathan Bell, about the changing focus of ECIC and the new push now being made for South African exports with a greater emphasis on markets across the African continent.
The introduction of Open Banking could see new digital players use the huge volumes of data that traditional banks have gathered - and failed to use - to target the most profitable parts of the same bank, according to new research. This could leave traditional banks saddled only with unprofitable products.
United Parcel Service (UPS) has joined the Blockchain in Trucking Alliance and says the technology has the potential to increase transparency among shippers, brokers, consumers, vendors and other supply chain stakeholders. Analysts say it could also reduce payment disputes in the industry.
India's Yes Bank has appointed Ajay Rajan as group president and head of transaction banking sales. He will be responsible for a range of products, including trade and supply chain finance. He has more than 21 years of corporate banking experience with Deutsche Bank in the areas of trade finance and cash management across India.
DS-Concept has provided a $1.5 million factoring facility to a garment trading company that specializes in sourcing solutions for its global customers. The company, headquartered in Shanghai with an office in Hong Kong, mainly exports to Europe.
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