Global Trade & Supply Chain Solutions

Transcription

1 Global Trade & Supply Chain Solutions 2013 Best Trade Finance Program Best Development Finance Institution Critical Commodities Finance Program Global Trade Supplier Finance Program Structured Trade Commodity Finance

2 IFC, a Member of the World Bank Group IBRD International Bank for Reconstruction and Development IDA International Development Association IFC International Finance Corporation MIGA Multilateral Investment and Guarantee Agency Est Est Est Est Role: To promote institutional, legal and regulatory reform To promote institutional, legal and regulatory reform To promote private sector development To reduce political investment risk Clients: Governments of member countries with per capita income from $1,025 to $6,055. Governments of poorest countries with per capita income of less than $1,025 Private companies in member countries Foreign investors in member countries Products: Technical assistance Loans Policy advice Technical assistance Interest-free loans Policy advice Equity/quasi-equity Long-term loans Risk management Advisory services Political risk insurance Shared Mission: To Promote Economic Development and Reduce Poverty 2

3 IFC Overview Over $100 billion invested in emerging markets since 1956 Largest multilateral source of loan/equity financing for the emerging markets private sector Founded in 1956 with 182 member countries AAA-rated by S&P and Moody s Equity, quasi-equity, loans, risk management and local currency products Takes market risk with no sovereign guarantees Promoter of environmental, social, and corporate governance standards FY13 Highlights Investments: 612 new projects in 113 countries Advisory services: $232 million in program expenditures $24.8 billion in financing: $18.3 billion for IFC s own account, $6.5 billion mobilized $49.6 billion committed portfolio IDA countries account for almost half of IFC projects overall: $3.5 billion invested in Sub-Saharan Africa Regional Composition of FY13 Transaction Volume Middle East & North Africa 11% South Asia 9% Global 1% Latin America & the Caribbean 26% Resources and know-how of a global development bank and flexibility of a merchant bank Holds equity in over 800 companies worldwide East Asia & the Pacific 16% Europe & Central Asia 18% Sub-Saharan Africa 19% 3

4 IFC Industry Groups Leveraging global knowledge for clients Infrastructure & Natural Resources Power Renewables Transport Utilities Banking Sustainability and Climate Change Fin. Private Equity/ Funds Housing Finance Oil & Gas Mining Sub-national Finance Financial Markets Insurance Microfinance SME Banking Trade and Supply Chain Finance Securities Markets Manufacturing, Agriculture & Services Agribusiness Forestry Healthcare Life Sciences Education Manufacturing Industries Energy Efficient Machinery Chemicals Other Services Industry Composition of FY13 Transaction Volume 2% 3% 35% 5% 7% 7% Financial Markets Infrastructure 20% 9% 12% Consumer & Social Services Manufacturing Agribusiness & Forestry Funds Telecom & IT Oil, Gas, & Mining Trade Finance 4

5 Trade & Supply Chain Products Transactional trade Global Trade Finance Program (GTFP) Trade portfolio and systemic solutions Global Trade Liquidity Program (GTLP) Critical Commodities Finance Program (CCFP) Working Capital Systemic Solutions (WCSS) Supply chain finance Structured trade commodity finance Global Warehouse Finance Program (GWFP) Global Trade Supplier Finance (GTSF) Distributor finance 5 3 October 2013

6 Trade & Supply Chain Value Proposition Our solutions provide essential working capital to emerging market firms, propelling goods through the economic value chain. MARKET NEEDS Inputs, Harvest Storage, Transportation Raw Materials, Labor, Energy Export OUR SOLUTIONS Pre- and Post-Harvest Financing Inventory and Warehouse Receipts Financing Working Capital and Supply Chain Financing Pre-Export Financing 6

7 Global Trade Finance Program (GTFP) Launched in 2005, the $5 billion GTFP provides risk mitigation by guaranteeing trade-related payment obligations of more than 275 eligible financial institutions in emerging markets. PROGRAM FEATURES AAA-rated Basel II benefits Coverage up to 100 percent Umbrella guarantee covers country and commercial risk Same-day issuance Three-year maximum tenor L/C applicants must be majority private sector Cumulative Program Statistics Since 2005 (as of June 30, 2013) Total # / USD of Gtees No. of Issuing Banks No. of Confirming Banks TOTAL CLAIMS 15,900 / $25.4B 281 in 96 countries 254 in 105 countries (1,100+ with affiliates) ZERO FY13 GUARANTEES BY REGION (year-to-date; most active countries listed) Middle East & North Africa 1. Lebanon 2. Pakistan Europe & Central Asia 1. Russia 2. Turkey Sub-Saharan Africa 1. Nigeria 2. Ghana 16% 16% 22% 24% 23% Latin America & the Caribbean 1. Brazil 2. Honduras Asia & Pacific 1. Vietnam 2. Bangladesh 7

8 Trade Portfolio Solutions (GTLP & CCFP) Funded and unfunded risk-sharing facilities in trade portfolios by IFC and program partners (governments, DFIs) aimed at increasing trade finance in developing countries GTLP: Global Trade Liquidity Program (launched 2009, renewed 2012) CCFP: Critical Commodities Finance Program (launched 2012) Program partners Program partners co-finance with funding or counter-guarantees Benefits to Bank: Risk mitigation: IFC s AAA rating, effective in managing the effects of Basel II & III Capacity enhancement: relieves headroom, single-client, countryexposure constraints Ease of administration: deal only with IFC, as agent Large facilities: sizeable solutions permit effective trade portfolio risk management Structure: IFC provides guarantee or funding as agent and primary guarantor, with counter-guarantees from DFIs Two-year program with one-year extension Pricing: market-based pro-rata sharing Focus Areas: Global: emphasis on Africa and lowincome countries Sectors: Agriculture, energy IFC channels funding or guarantees for up to 50% on portfolio of trade transactions Originating bank Originating bank retains 50% of the aggregate amount of portfolio of trade transactions Emerging market corporates (CCFP only) and banks (GTLP and CCFP) 8

9 Working Capital Systemic Solutions (WCSS) Under our Working Capital Systemic Solutions, we issue shortterm loans to emerging market banks to inject USD liquidity in markets where macro events have led to a USD liquidity squeeze. Benefits to Bank: Foreign exchange: fills void left by international commercial banks in the FX market due to concerns over regulatory uncertainty and/or sovereign risk Risk mitigation: IFC s AAA rating, effective in managing the effects of Basel II & III Ease of administration: deal only with IFC, as agent Structure: IFC provides funding as agent with co-financing from program partners One-year traditional A loan with potential to be renewed twice for total of three years Pricing: 6-month Libor + spread Focus Areas: Global: low-income countries where macro factors create USD constraints Sectors: SMEs, including exportoriented enterprises, in need of trade finance and working capital Program partners Program partners co-finance alongside IFC IFC extends loan to one or more local banks Local bank #1 Local banks extend USD financing to their SME clients to support their working capital needs Emerging market SMEs Local bank #2 Emerging market SMEs 9

10 Structured Trade Commodity Finance Funding for commodity players and risk mitigation for partner banks Supports large cross-border commodity trade using collateral management to support lending at all stages of the supply chain: exporter/producers, trading companies, importer/processors Producers EXPORT Exporter Traders IMPORT Offtakers Emphasis on strategic commodities, such as energy, soft commodities, and agricultural inputs Pre-export financing, inventorybased financing, receivablebased financing Borrowing base financing: lending against commodity or off-take agreements IFC risk-shares by lending in parallel with Bank on underlying assets or by providing credit guarantee Bank should have solid track record in managing the transaction flow and can act as the security agent Environment & social requirements to be met by facility Partner bank Financing is secured by pledge of commodities as collateral, assignment of receivables, insurance, cash collection account 10

11 Global Warehouse Finance Program (GWFP) Risk mitigation for banks food/agriculture portfolio Supports banks when lending to the agricultural sector against warehoused commodities Banks can support increased use of WR or CMA by trading companies or producers Prequalified sub-borrowers Funded or unfunded: risk sharing Bank 3. IFC channels funding or guarantees for up to 50% on portfolio of warehouse receipts 4. WHR facility Program partners Program partners cofinance with funding or counter-guarantees 2. Warehouse receipts issued by warehouse Facility tenor: one year extendable up to three years Average transaction tenor: 4-6 months Agricultural producers 1. Grain/produce stored in third-party warehouse Storage company 11

12 Global Trade Supplier Finance (GTSF) Funding and risk mitigation for banks supply chain finance clientele Provides banks with additional credit capacity to support clients suppliers from higherrisk countries Provides funded and unfunded risk-sharing of up to 100% of a client s accounts receivable IFC may also provide liquidity and discount A/R itself A/R is discounted using marketbased pricing IFC accepts bank proposed discount rate on risk-shared receivables Buyer 1. Buyer uploads invoices (automated process) 6. Buyer pays full invoice amount on due date (automated transfers established) 3. Financier accepts early payment requests SCF platform Bank 2. Supplier views invoices and requests early payment of approved invoices 4. IFC provides funding or guarantee coverage Emerging market suppliers 5. Financier pays discounted invoice amount Mobilization Program partners 12

13 Distributor Finance Financing corporates emerging-market distribution chains Benefits to Bank: Risk-mitigation: portfolio management tool Strengthening business line with global corporate clients Capacity expansion in distributor finance business Focus: food, agribusiness, health, energy efficiency, infrastructure, and pharmaceuticals Bank IFC ROLE Funded or unfunded risk-sharing facilities and partial guarantees Capacity building: IFC s Advisory Services, including SME Management Services, can engage to improve financial sustainability of distributors BANK ROLE Origination and monitoring in: Receivables-based financing to seller Overdrafts or loans to distributors/sub-distributors Floor-planning and equipment financing, including enduser financing SELLER provides some contractual support: first loss or counterguarantee, stop shipment clause, etc. Seller (anchor) Distributor in emerging market Sub-distributor in emerging market End customer in emerging market 13

14 Our Strategic Partnerships Government/DFI Partners Bank Partners 14

15 Trade and Supply Chain Contacts GEORGINA BAKER Director MANAGEMENT TEAM BONNIE GALAT Global Head, Business Dvpmt., Global Banks Paris, France BGalat@ifc.org SCOTT STEVENSON Senior Manager, GTFP & Trade Advisory Istanbul, Turkey SStevenson@ifc.org SABRINA BORLINI Global Manager, Business Development SBorlini@ifc.org HYUNG AHN Global Manager, Trade Products HAhn@ifc.org BILGE OZISIK Global Head, Transaction Operations Istanbul, Turkey BOzisik@ifc.org TRADE PRODUCTS TRANSACTION OPERATIONS SUPPLIER FINANCE (GTSF) PRIYAMVADA SINGH Head PSingh3@ifc.org WAREHOUSE FINANCE (GWFP) MAKIKO TOYODA Head MToyoda@ifc.org SYSTEMIC SOLUTIONS (WCSS) JUAN ANDRES MOSQUERA Investment Officer JMosquera@ifc.org STRUCTURED TRADE FINANCE YASMIN SAADAT Head YSaadat@ifc.org BENITO ZAPATA Senior Investment Officer BZapata@ifc.org LILI WANG Financial Analyst LWang14@ifc.org PORTFOLIO SOLUTIONS (GTLP & CCFP) NEVIN TURK Head NTurk@ifc.org INHO LEE Senior Investment Officer ILee@ifc.org FANG CHEN Investment Officer FChen@ifc.org ZEYNEP ERSEL Operations Supervisor ZErsel@ifc.org MURAT AYIK Operations Supervisor Istanbul, Turkey MAyik@ifc.org TRADE ADVISORY GIMHANI T. SENEVIRATNE Head Johannesburg, South Africa GTalwatte@ifc.org 15

16 Trade and Supply Chain Contacts BUSINESS DEVELOPMENT GLOBAL BANKS DANNY IP Principal Trade Fin. Officer Hong Kong, China ZUBEROA MAINZ Trade Finance Officer MICHAEL KURDYLA Trade Finance Analyst ASIA & THE PACIFIC EUROPE & CENTRAL ASIA ANURAG MISHRA Regional Head Mumbai, India LIEN HOAI NGUYEN Trade Finance Officer Hanoi, Vietnam x603 NLienHoai@ifc.org ALEKSEY NIKIFOROVICH Regional Co-Head Moscow, Russia x2129 ANikiforovich@ifc.org MARK ROZANSKI Regional Co-Head MRozanski@ifc.org ALEXEI TIMOFTI Assoc. Trade Fin. Officer ATimofti@ifc.org SUB-SAHARAN AFRICA GBOYEGA SONGONUGA Regional Head Johannesburg, S. Africa GSongonuga@ifc.org OLIVIER BUYOYA Senior Trade Fin. Officer Johannesburg, S. Africa OBuyoya@ifc.org MARCELLE AYO Senior Trade Fin. Officer Johannesburg, S. Africa MAyo@ifc.org BENIE KOUAKOU Trade Finance Analyst Johannesburg, S. Africa BKouakou@ifc.org ANTONIO ALVES Regional Head AAlves1@ifc.org LATIN AMERICA & THE CARIBBEAN SUSANNE KAVELAAR Trade Finance Officer Buenos Aires, Argentina SKavelaar@ifc.org JOSE ALBERTO VIVANCO Trade Finance Officer Mexico City, Mexico JVivanco@ifc.org KARLA LOPEZ FLORES Trade Finance Analyst KLopezFlores@ifc.org MIDDLE EAST & NORTH AFRICA SHEHZAD SHARJEEL Regional Head Istanbul, Turkey SSharjeel1@ifc.org AHMED HANAA Trade Finance Officer Cairo, Egypt AMohamed5@ifc.org ZEYNEP ATTAR Trade Finance Analyst Istanbul, Turkey ZAttar@ifc.org 16

17 Our Web Site ifc.org/trade Partner bank lists Contact information Latest news and events Updated product offerings New business opportunities 17