Innovative Trade Finance Solutions for SMEs

Size: px
Start display at page:

Download "Innovative Trade Finance Solutions for SMEs"

Transcription

1 Innovative Trade Finance Solutions for SMEs Murali Subramanian EVP, Transaction Banking Head 20 th April 2011

2 Overview of ADCB Incorporated in 1985 following a merger of 3 banks Owned 64.8% by Government of Abu Dhabi.Traded on Abu Dhabi and Dubai stock exchanges First ever acquisition of an International Bank s (RBS) retail banking franchise in the UAE by a local bank Winner of Best Consumer Internet Bank from Global Finance in 2010; Best Retail Bank in the UAE and GCC from Asian Banker in 2009; Sheikh Khalifa Excellence Award (Silver) and Hawkamah Award for excellence in corporate governance in 2009 Strong Operating Income at AED 5.3bln in 2010 Service 345,000 clients in the UAE with a 59 branch network and employs staff Moody s rating of A1, S&P of A- Strong Transaction Banking Platform - Offer state of the art Corporate Internet Banking channels and - Strategic alliance with Bank of America Merrill Lynch - Leading Trade Bank in the UAE for Corporate, especially SME clients

3 Trade Finance for SMEs : Landscape SMEs are a key driver for the UAE economy Contribute 80% of the UAE Non-Oil GDP 90% of non-oil exports Re-export engine for the economy The UAE is one of the most business-friendly environments in setting up and operating a business. Banking and finance is a different story Almost all banks focus heavily on large Corporates and Public sector as their needs are more complex Most local banks work with SME clients, although the offering is quite generic There are no financing arrangements or start up funds for the entire SME segment, only for parts of it There is a significant role for banks to provide thought leadership and There is a significant role for banks to provide thought leadership and innovation in supporting the SME segment

4 Trade Finance for SMEs : Landscape The most commonly availed export financing products today are : Product Liquidity Cost Complexity Availability Dox on collection Low High Low High Discounting of accepted draft Medium Medium Medium Medium Negotiation and Payment under LC Medium Medium High Low Preshipment financing High Low High Low Open account financing Medium Medium High Low Factoring High High High Low Invoice Financing High Medium High Low Back to Back LC/financing High Medium High Low In both of the commonly used methods, the entire sale-to-cash cycle is financed by conventional methods, hence higher cost. The remaining methods are not commonly offered by banks to SME clients, this is different with larger corporates.

5 Bank and Client Views Differ Bank View Portfolio approach Risk and compliance focus Industry outlook Transactional innovation Relationship return Client View Reliable Partner Understand business Consistent approach Advisory outlook Support in growth Business cycles are best endured by SME clients, but it is typical to see banks modify their approach to all segments depending on stage of business cycle S B k i th SME t i t tl d h i t l Some Banks view the SME segment more consistently, and have internal organisational structure changes made to execute

6 Challenges As a segment, SMEs have more startups with less publicly available and audited information. Unless banks are capable of understanding this, access is a challenge Banks tend to focus on risk-free process where possible, hence the preference to pay against acceptances or documents against collection While network banks (typically (yp y international) have greater appetite on international LC issuing banks, few deploy this towards SMEs. Risk defeasance structures are relatively less used by local banks. Cost of funds, and deployment of scarce liquidity especially in USD and EUR has been a challenge with Local Banks, but this could be overcome. Trusted advisory services are still nascent for the SME segment

7 Areas of Focus and Innovation o While there are several innovations in Trade Finance, we will focus on these for today : 1. Documents Preparation, presentation and processing 2. Back to Back LC structures t 3. Better management of Risk and Liquidity 4. Supply Chain Financing a) Invoice Financing b) Export Credit Financing

8 Document Preparation at Banks prepare documents on behalf of the SME client and work with counterparties to collect third party docs, to produce document sets compliant at the point of creation. Thereafter, this is negotiated. Discrepancies are minimised and turnaround time is reduced Counterparties (Shipping Agent, Surveyor, Lab, Chamber of Commerce, etc) 3 Bank engages with counterparties to prepare 3 rd party docs LC Issuing Bank 4 Bank can then send documents directly to the Issuing Bank / have them sent to Exporter Effort save as manual preparation of documents minimised Banks coordinate with third parties on behalf of the SME Supplier 1 Exporter ships goods Reports and document Bank images are typically Bank engages with 2 Exporter to prepare 1 provided st party docs

9 Back to Back LC Structure Seller SME Client End buyer Purchase order US$ 4.7m 1 2 Purchase order US$ 5m Seller bank Letter of credit US$4.7m 4 Letter of credit US$ 5m 3 Buyers bank SME Client s Bank Full set of doc and invoice for US$4.7m Full set of doc and invoice for US$5m

10 Better management age e of Risk and Liquidity qudty Risk defeasance on issuing banks using multilateral agencies, e.g. IFC, ADB, ICIEC, ECAs Avalisation where own financing cost is high Partnership with money centre institutions to provide an end to end solution Negotiation and payment invest in operations expertise

11 Supply Chain Financing Invoice ocefinancing SME Client Discounted Proceeds (Day n) 5 SME Client s Bank Risk Participation Agreements Bank A Commercial Contract (Day 0) 1 Shipment and Invoicing/ (Day 0) 2 4 Supplier sends Financing/Payment Request (Day n) Bank B Bank kc Buyer accepts receivables (Day 1) Buyer 3 Invoice Processing Platform Bank D 6 Payment at Maturity Buyer approves the SME client s invoice for payment using existing processes. Once an invoice has been approved for payment, buyer electronically instructs Bank to pay the supplier on the future due date. Buyer is integrated with the Bank for processing of payment instructions The SME client is notified of payment from buyer on a future due date and can see settlement details: Buyer s name, the amount, the due date and associated remittance details. The SME client may discount the underlying receivables to cash without t recourse. rse The client can also chose to collect the full value of the invoice at the maturity date, ensuring full flexibility.

12 Supply Chain Financing Export Credit Financing Exporter / Seller Sells / Discounts Receivables Cash advance(risk) Bank / FI Delivers goods or services Generates receivable (invoice/billof of exchange /etc) Policy assignment & Claims payment Importer / Buyer Underwrite Credit Risk (Risk Transfer) Export Credit Agency

13 Summary ay& Way Forward ad You have the opportunity to evaluate what you get from banks What is on offer v/s what are you looking for The cost and liquidity impact required Appropriateness given stage in growth and strategy Peer comparison and best in class examples Communication with your Bank is critical Understand your bank s capabilities and process Can they understand your strategy and support it? Primary and other bank relationships More than just financing Seeing is believing For both your bank and you, actual execution is proof Learn and adapt

ISO20022 Trade Services Dashboard Description of business processes. ISO20022 - Trade Services Description of Business Processes

ISO20022 Trade Services Dashboard Description of business processes. ISO20022 - Trade Services Description of Business Processes ISO20022 Trade Services Dashboard Description of business processes 1 Trade Services Description of Procurement: Sub-Functions Tendering Ordering Delivering Invoicing Process for buyer to contact potential

More information

BAFT-IFSA. BAFT-IFSA Product Definitions for Open Account Trade Processing and Open Account Trade Finance

BAFT-IFSA. BAFT-IFSA Product Definitions for Open Account Trade Processing and Open Account Trade Finance BAFT-IFSA Product Definitions for Open Account Trade Processing and Open Account Trade Publication Date: December 13, 2010 (Original) / REVISED May 2011 and Open Account Trade Section 1: Introduction Banks

More information

2011 Meridian Partners Limited. Meridian Partners Trade Financing

2011 Meridian Partners Limited. Meridian Partners Trade Financing Meridian Partners Trade Financing About Us Meridian Partners provides you with the legal requirements of a registered office address in Hong Kong, a corporate secretary, telephone, fax and mailing services.

More information

Dubai Islamic Bank. Investor Presentation September 30 th 2011. www.dib.ae

Dubai Islamic Bank. Investor Presentation September 30 th 2011. www.dib.ae Dubai Islamic Bank Investor Presentation September 30 th 2011 www.dib.ae Disclaimer The information provided in this presentation should not be used as a substitute for any form of advice. Decisions based

More information

PURCHASE SALE. Customised Solutioning and Advisory Services. Global Transaction Services Simplified Banking. Customised Solutions

PURCHASE SALE. Customised Solutioning and Advisory Services. Global Transaction Services Simplified Banking. Customised Solutions Customised Solutioning and Advisory Services ING Vysya Bank offers advisory services relating to FEMA, EXIM Policy, URC, UCPDC, URDG, ECA Financing and ECGC through vastly experienced trade finance practitioners

More information

Optimizing Payment Cycles for Trade Payables and Receivables

Optimizing Payment Cycles for Trade Payables and Receivables Optimizing Payment Cycles for Trade Payables and Receivables Houston Treasury Management Association Space City Cash Conference September 2013 Madeline Sprague, HSBC Bank USA, N.A. Global Trade & Receivables

More information

Raise the anchor. FEATURE 4 March 2015. One of the most reliable growth stimuli for SMEs is value chain financing.

Raise the anchor. FEATURE 4 March 2015. One of the most reliable growth stimuli for SMEs is value chain financing. Raise the anchor FEATURE 4 March 2015 One of the most reliable growth stimuli for SMEs is value chain financing. Qamar Saleem, Martin Hommes and Aksinya Sorokina explain how this works and why it is good

More information

Trade Finance Operations

Trade Finance Operations Trade Finance Operations A Solutions View on Traditional Trade Products Beirut, Lebanon, March 2010 Alexander R. Malaket, CITP, President OPUS Advisory Services International Inc. Summary Trade finance

More information

Dubai Islamic Bank. Investor Presentation June 30 th 2011. www.dib.ae

Dubai Islamic Bank. Investor Presentation June 30 th 2011. www.dib.ae Dubai Islamic Bank Investor Presentation June 30 th 2011 www.dib.ae Disclaimer The information provided in this presentation should not be used as a substitute for any form of advice. Decisions based on

More information

Customer financing in Brazil Guide for a Finnish SME exporter

Customer financing in Brazil Guide for a Finnish SME exporter Customer financing in Brazil Guide for a Finnish SME exporter Contents Financial markets 2 Know your customer 3 Prepayments received from the buyer 4 Granting payment terms with invoice 5 Bills of exchange

More information

Investor Presentation First Quarter (Q1) 2011. www.dib.ae

Investor Presentation First Quarter (Q1) 2011. www.dib.ae Dubai Islamic Bank Investor Presentation First Quarter (Q1) 2011 www.dib.ae Disclaimer The information provided in this presentation should not be used as a substitute for any form of advice. Decisions

More information

Trade Services Service & Price Guide

Trade Services Service & Price Guide Trade Services Service & Price Guide Version1: April-2014 Standard pricing applicable for Trade Services (applicable for Wholesale Banking / Transaction Banking / SME & Consumer Banking Clients of Standard

More information

Webinar - Value Chain Finance: How Banks can Leverage Growth Opportunities for SME Banking Customers

Webinar - Value Chain Finance: How Banks can Leverage Growth Opportunities for SME Banking Customers Webinar - Value Chain Finance: How Banks can Leverage Growth Opportunities for SME Banking Customers Qamar Saleem, Global SME Banking and Value Chain Specialist, IFC Dr. Eugenio Cavenaghi, Managing Director

More information

Contact details and instructions for trade transactions.

Contact details and instructions for trade transactions. Contact details and instructions for trade transactions. Rabobank Nederland - Trade Services Contact details Delivery trade transactions For new transactions please use the online transaction service Rabo

More information

Citi s Trade University

Citi s Trade University Citi s Trade University Joint Webinar with World Trade Magazine Retailing and the Financial Supply Chain the Links to Success Thursday, June 21st, 2007 11:00 a.m. to 12:00 p.m. (Eastern Time) This presentation

More information

Sailing through the storm with Factoring

Sailing through the storm with Factoring By: Panos Papatheodorou - Executive Committee Member, FCI - Vice-Chairman & CEO, MARFIN Factors & Forfaiters Sailing through the storm with Factoring 1 Crisis and Factoring Today we are all witnessing

More information

11 13 October 2015 Dubai Leveraging insurance and credit management to minimise risk, enhance trade and ensure sustainable business growth

11 13 October 2015 Dubai Leveraging insurance and credit management to minimise risk, enhance trade and ensure sustainable business growth 11 13 October 2015 Dubai Leveraging insurance and credit management to minimise risk, enhance trade and ensure sustainable business growth Conference Day 1: Sunday, 11 October 2015 08:30 Registration and

More information

FORFAITING IMPROVE YOUR CASH FLOW & MITIGATE RISK - WHILE OFFERING YOUR CUSTOMERS EXTENDED PAYMENT TERMS

FORFAITING IMPROVE YOUR CASH FLOW & MITIGATE RISK - WHILE OFFERING YOUR CUSTOMERS EXTENDED PAYMENT TERMS Financing International Sales using Forfaiting Presented by Gregory Bernardi LFA FORFAITING IMPROVE YOUR CASH FLOW & MITIGATE RISK - WHILE OFFERING YOUR CUSTOMERS EXTENDED PAYMENT TERMS 1 FORFAITING AGENDA

More information

BANK PAYMENT OBLIGATION: FINANCIAL INSTRUMENTS TO MANAGE RISK IN THE OPEN ACCOUNT TRADE

BANK PAYMENT OBLIGATION: FINANCIAL INSTRUMENTS TO MANAGE RISK IN THE OPEN ACCOUNT TRADE BANK PAYMENT OBLIGATION: FINANCIAL INSTRUMENTS TO MANAGE RISK IN THE OPEN ACCOUNT TRADE J.P. Morgan Michael Quinn, Managing Director, Global Trade Product Management Executive Qatar National Bank Imre

More information

Commonwealth Bank Australian Grains Conference

Commonwealth Bank Australian Grains Conference Commonwealth Bank Australian Grains Conference Steve Scott Head of Trade and Working Capital Finance Agricultural Commodities 31 July 2013 Commonwealth Bank of Australia ABN 48 123 123 124 AFSL and Australian

More information

A new start for Supply Chain Finance

A new start for Supply Chain Finance White Paper The Payment Obligation: a new payment term to secure and finance trade A new start for Supply Chain Finance In Q2 2013, the banking industry releases a unique set of legal and technology standards

More information

Supply Chain Finance for Corporates

Supply Chain Finance for Corporates Supply Chain Finance for Corporates Managing risk, finance and processing efficiency in a multi-bank environment Webinar, 30 June 2011 Our SWIFT speakers today André Casterman Head of Cash, Trade and Supply

More information

Frequently Asked Questions Trade Services

Frequently Asked Questions Trade Services Frequently Asked Questions Trade Services IMPORT LETTER OF CREDIT What are the various forms of Import Services? (Payment instruments) in International Trade? There are two main options: Letter of Credit

More information

CASE STORY ON GENDER DIMENSION OF AID FOR TRADE. Banking on Women Pays Off: Creating Opportunities for Women Entrepreneurs

CASE STORY ON GENDER DIMENSION OF AID FOR TRADE. Banking on Women Pays Off: Creating Opportunities for Women Entrepreneurs CASE STORY ON GENDER DIMENSION OF AID FOR TRADE Banking on Women Pays Off: Creating Opportunities for Women Entrepreneurs Banking on Women Pays Off Creating Opportunities for Women Entrepreneurs International

More information

Enhancing Supply Chain Finance with Bank Payment Obligation (BPO)

Enhancing Supply Chain Finance with Bank Payment Obligation (BPO) Enhancing Supply Chain Finance with Bank Payment Obligation (BPO) Peter Chin Sibos 2013 Dubai September 17, 2013 Copyright 2001 2013 Premium Technology, Inc All Rights Reserved BPO Enhancing Open Account

More information

ELECTRONIC TIME DRAFTS AND SUPPLY CHAIN FINANCE

ELECTRONIC TIME DRAFTS AND SUPPLY CHAIN FINANCE Electronic Time Drafts is the latest innovative product introduced by PrimeRevenue and will contribute to our long-term success as a global leader in the Supply Chain Finance market. David Quillian, Vice

More information

Corporate and Investment Banking. Open Account Trade Finance Solutions

Corporate and Investment Banking. Open Account Trade Finance Solutions Corporate and Investment Banking Open Account Trade Finance Solutions Open Account Trade Finance Solutions Standard Bank your trade partner in, for and across Africa Open Account Trade Finance Solutions

More information

CHAPTER 20 INTERNATIONAL TRADE FINANCE SUGGESTED ANSWERS AND SOLUTIONS TO END-OF-CHAPTER QUESTIONS AND PROBLEMS

CHAPTER 20 INTERNATIONAL TRADE FINANCE SUGGESTED ANSWERS AND SOLUTIONS TO END-OF-CHAPTER QUESTIONS AND PROBLEMS CHAPTER 20 INTERNATIONAL TRADE FINANCE SUGGESTED ANSWERS AND SOLUTIONS TO END-OF-CHAPTER QUESTIONS AND PROBLEMS QUESTIONS 1. Discuss some of the reasons why international trade is more difficult and risky

More information

A Simple Approach to Business Loans and Cash Management

A Simple Approach to Business Loans and Cash Management A Simple Approach to Business Loans and Cash Management Christine Ho Vice President SME Banking 11 February 2009 Operating Cycle Liquidity Liquidity Management Management Working Capital Working Capital

More information

The promised land of SME Funding. We see it. But do we serve it? Slide 1

The promised land of SME Funding. We see it. But do we serve it? Slide 1 The promised land of SME Funding. We see it. But do we serve it? Slide 1 Slide 2 Supply Chain Financing Market Overview Banks find lending to SME s profitable Slide 3 SME Small and Medium Sized enterprises

More information

A new start for Supply Chain Finance

A new start for Supply Chain Finance White Paper The Payment Obligation: a new payment term to secure and finance trade A new start for Supply Chain Finance Contents Industry standards are a critical foundation for any competitive eco-system...

More information

YOUR STRATEGIC PARTNER FOR WEST-EAST CORRIDOR FLOWS

YOUR STRATEGIC PARTNER FOR WEST-EAST CORRIDOR FLOWS YOUR STRATEGIC PARTNER FOR WEST-EAST CORRIDOR FLOWS GLOBAL TRANSA CTION BANKING ABOUT NBAD The National Bank of Abu Dhabi (NBAD) stands tall in the United Arab Emirates as a banking leader with a global

More information

Pricing Guide 2014 Vietnam

Pricing Guide 2014 Vietnam 5 Transaction Banking Pricing Guide 2014 Applicable for Corporate & Institutional Clients Effective from May 15, 2014 Contents Cash Management: Account Services 2 Cash Management: Payments 5 Cash Management:

More information

Working capital: Keep the ball rolling

Working capital: Keep the ball rolling Working capital: Keep the ball rolling Author : Michael Byrne Date : March 9, 2011 Working capital is considered the life line of any company, allowing the company to grow, expand operations, and weather

More information

INTERNATIONAL FINANCIAL SETTLEMENTS

INTERNATIONAL FINANCIAL SETTLEMENTS INTERNATIONAL FINANCIAL SETTLEMENTS Dr Katarzyna Sum Chair of International Finance Warsaw School of Economics Lecture information The material for the lectures is available on my website http://akson.sgh.waw.pl/~ksum/

More information

J. Gaspar: Adapted from Jeff Madura, International Financial Management. Slides by Yee-Tien (Ted) Fu

J. Gaspar: Adapted from Jeff Madura, International Financial Management. Slides by Yee-Tien (Ted) Fu Chapter 19 Financing International Trade J. Gaspar: Adapted from Jeff Madura, International Financial Management 19. 1 Slides by Yee-Tien (Ted) Fu Merchandise Trade Merchandise trade, i.e., exports and

More information

Dr. Muhammad Ather Elahi. In Conference on Normalizing Indo-Pak Trade Relations ICRIER, New Dehli

Dr. Muhammad Ather Elahi. In Conference on Normalizing Indo-Pak Trade Relations ICRIER, New Dehli Dr. Muhammad Ather Elahi In Conference on Normalizing Indo-Pak Trade Relations ICRIER, New Dehli Trade Financing An overview Risks in Trade Financing Trade Financing Products Documentation Challenges Issues

More information

BUSINESS EMPOWERED! Bringing structured Trade Finance Solutions to Corporates and SMEs in the Middle East

BUSINESS EMPOWERED! Bringing structured Trade Finance Solutions to Corporates and SMEs in the Middle East (A member of the FIMBank Group) Regulated by the DFSA BUSINESS EMPOWERED! Bringing structured Trade Finance Solutions to Corporates and SMEs in the Middle East www.menafactors.com Menafactors Limited PO

More information

GBP 0.19 per line, minimum GBP 0.75 USD 0.30 per line, minimum USD 1.20 EUR 0.18 per line, minimum EUR 0.90 Ledger fees - Associations

GBP 0.19 per line, minimum GBP 0.75 USD 0.30 per line, minimum USD 1.20 EUR 0.18 per line, minimum EUR 0.90 Ledger fees - Associations Account Access Services Internet Banking Yearly subscription fee Security Token - First two Replacement/3 rd token upwards SCR 600.00 per company SCR 200.00 per token Accounts Current Account SCR Minimum

More information

Factoring in Turkey. Çağatay Baydar General Manager of TEB Faktoring A.Ş. Vice Chairman of FCI

Factoring in Turkey. Çağatay Baydar General Manager of TEB Faktoring A.Ş. Vice Chairman of FCI Factoring in Turkey Çağatay Baydar General Manager of TEB Faktoring A.Ş. Vice Chairman of FCI Factoring in Turkey First factoring company established in 1990 Today; around 75 factoring companies Minimum

More information

ROLE OF TRADE FINANCE

ROLE OF TRADE FINANCE Volume 3, Issue 5 (May, 2014) Online ISSN-2277-1166 Published by: Abhinav Publication Abhinav National Monthly Refereed Journal of Research in ROLE OF TRADE FINANCE Hemanshu Kapadia Proprietor, Practicing

More information

Association of Retained. 20 th April 2011

Association of Retained. 20 th April 2011 Your Options For Raising Finance - Santander s Perspective Association of Retained Council Housing 20 th April 2011 Overview Santander & Our Commitment Context: HRA Reform Private Finance Broad Comparative

More information

SUPPLY CHAIN FINANCE : A new way for trade banks to strengthen customer relationships

SUPPLY CHAIN FINANCE : A new way for trade banks to strengthen customer relationships White Paper SUPPLY CHAIN FINANCE : A new way for trade banks to strengthen customer relationships Business solutions through information technology TM Entire contents 2007 by CGI Group Inc. All rights

More information

COMPANY PRODUCTS AND SERVICES

COMPANY PRODUCTS AND SERVICES COMPANY PRODUCTS AND SERVICES THE WORLD IS WAITING. 1 1 Santander Group. With more than 150 years in the business, Santander has become one of the world's largest financial groups. This has been based

More information

Trade Finance & Liquidity Management. - 5 May 2010 -

Trade Finance & Liquidity Management. - 5 May 2010 - Trade Finance & Liquidity Management - 5 May 2010 - Agenda Trade Finance Concepts & Trends SWIFT Trade Finance Offering BIS Solutions in the Trade Space Managing Liquidity BIS Solutions on Liquidity Mgt.

More information

A 2010 GLOBAL TRANSACTION BANKING HANDBOOK:

A 2010 GLOBAL TRANSACTION BANKING HANDBOOK: A 2010 GLOBAL TRANSACTION BANKING HANDBOOK: in association with: Platinum sponsor: Gold sponsor: Silver sponsor: www.financial-i.com TRADE & SUPPLY CHAIN FINANCE Honing in on efficiencies The financial

More information

To enable highly rated corporate borrowers to diversify their sources of short term borrowings.

To enable highly rated corporate borrowers to diversify their sources of short term borrowings. COMMERCIAL PAPER (CP) CP is an unsecured money market instrument issued in the form of a Promissory Note and was introduced in 1990. Can now be issued in Dematerialised form. To enable highly rated corporate

More information

Go beyond trade finance automation

Go beyond trade finance automation Trade Services Solution insight Go beyond trade finance automation End-to-end trade services to drive sales and boost margins Turn transaction efficiency into service leadership & product innovation How

More information

Investor Presentation. December 2014

Investor Presentation. December 2014 Investor Presentation December 2014 Contents I. UNB Introduction 1 II. UAE Economy and Banking Industry 3 III. UNB Business Overview 5 IV. Financial Highlights and Performance 11 V. Awards and Certifications

More information

Small and Medium Enterprises

Small and Medium Enterprises Small and Medium Enterprises YOUR LOANS Small and Medium Enterprises Financing Products for Your Business A consumer education programme by: contents 1 Introduction 2 The right product for the right purpose

More information

Working Capital Finance THE PRODUCTS. Asset & Equipment Finance. Vehicle Finance. Marine Finance

Working Capital Finance THE PRODUCTS. Asset & Equipment Finance. Vehicle Finance. Marine Finance Gulf Finance Corporation PJSC (Gulf Finance) is a leading UAE based finance company and the first choice for the region s Small and Medium sized Enterprises (SMEs). Gulf Finance has been recognised over

More information

2006-2012 ASYX International B.V. C r e a t i n g v a l u e t h r o u g h p a r t n e r s h i p

2006-2012 ASYX International B.V. C r e a t i n g v a l u e t h r o u g h p a r t n e r s h i p C r e a t i n g v a l u e t h r o u g h p a r t n e r s h i p Agenda Company overview Supply Chain Finance today Operational implications SCF Summary and conclusion 2 ASYX - Company profile Profile ASYX

More information

Finance 4 growth FX & Export Finance Workshop

Finance 4 growth FX & Export Finance Workshop Finance 4 growth FX & Export Finance Workshop Brian Colgan Irish Exporters Association 2015 Typical Bank Relationship Model What do they hope to achieve? To form a relationship to enable an understanding

More information

FACTORING AND FORFEITING. the faster way to get your money

FACTORING AND FORFEITING. the faster way to get your money FACTORING AND FORFEITING the faster way to get your money 3 CONTENTS FACTORING 4 DOMESTIC FACTORING 5 1. Supplier s factoring (Reverse factoring) 5 2. Selective factoring with right of recourse 6 3. Individual

More information

Bill Discounting. Exporter. Importer BANKING AND TRADE FINANCE TUTORIAL. Importer s Bank. Exporters Bank INDIA FOREX ADVISORS.

Bill Discounting. Exporter. Importer BANKING AND TRADE FINANCE TUTORIAL. Importer s Bank. Exporters Bank INDIA FOREX ADVISORS. Bill Discounting While discounting a bill, the Bank purchases the bill receivable to the Exporter (i.e. Bill of Exchange or Promissory Note) before its due date and credits the value of the bill to the

More information

Munich Re s growth strategy in emerging markets

Munich Re s growth strategy in emerging markets Munich Re International Health Munich Re s growth strategy in emerging markets Monika Nothhelfer Abu Dhabi 13 October 2008 MR Group has identified the global health markets as a major growth driver Global

More information

Activities during First Quarter 2016. Activities during First Quarter 2016

Activities during First Quarter 2016. Activities during First Quarter 2016 1 1. UBF Board of Directors Meeting : The Board held its first meeting for the year 2016 in March and discussed the following topics: elections of the new Board of Directors for the years 2016 2019, ratification

More information

1 Regional Bank Regional banks specialize in consumer and commercial products within one region of a country, such as a state or within a group of states. A regional bank is smaller than a bank that operates

More information

Cloud-based trading & financing ecosystem for global ecommerce

Cloud-based trading & financing ecosystem for global ecommerce Cloud-based trading & financing ecosystem for global ecommerce specializing in China inbound and outbound trade for small online retailers and social commerce players Our Motto MAKING BUY AND SELL EASY!

More information

11/11. Trade Services Service & Price Guide

11/11. Trade Services Service & Price Guide 11/11 Trade Services Service & Price Guide Standard Pricing applicable for Trade Services (applicable for Wholesale Banking / Transaction Banking / SME & Consumer Banking Clients of Standard Chartered

More information

OVERSEAS TRADE FINANCE ( OTF )

OVERSEAS TRADE FINANCE ( OTF ) OVERSEAS TRADE FINANCE ( OTF ) Port to Port Trade Finance Trade Finance Equity Trade Finance Report 3 Port to Port Trade Finance Trade Finance Equity Overseas Trade Finance specialise in sourcing trade

More information

MANAGING CREDIT RISK IN A VOLATILE MARKETPLACE

MANAGING CREDIT RISK IN A VOLATILE MARKETPLACE Export Forum 2015 October 14, 2015 MANAGING CREDIT RISK IN A VOLATILE MARKETPLACE Presented by: George Babeu, President One Source Risk Management and Funding, Inc. WHAT WE WILL DISCUSS Today s volatile

More information

Abu Dhabi Islamic Bank net profit for Q1 2016 increases 6.9% to AED 482.0 million

Abu Dhabi Islamic Bank net profit for Q1 2016 increases 6.9% to AED 482.0 million MANAGEMENT DISCUSSION & ANALYSIS FOR THE QUARTER ENDING 31 MARCH 2016 Abu Dhabi Islamic Bank net profit for Q1 2016 increases 6.9% to AED 482.0 million Group Financial Highlights Income Statement: Q1 2016

More information

Factoring and forfaiting. International financial settlements 120881-1165

Factoring and forfaiting. International financial settlements 120881-1165 Factoring and forfaiting 1 Factoring Factoring is a transaction where the exporter sells its receivables to an institution The factoring institution buys the receivables without recourse Due to increased

More information

International Sales Finance Solutions

International Sales Finance Solutions International Sales Finance Solutions Global Transaction Services Cash Management Trade Services and Finance Securities Services Fund Services International Sales Finance Solutions Financing Tools to Support

More information

This involves making goods or services available for those who want to buy them

This involves making goods or services available for those who want to buy them Place This involves making goods or services available for those who want to buy them There are 2 main issues: Distribution Channels How goods are actually moved from manufacturer to consumer and where

More information

Overview of Financial Solutions

Overview of Financial Solutions Overview of Financial Solutions The Etra Advisory Group provides solutions to businesses for growth, expansion, cash flow, refinance and acquisition. We cover the world of business financing that banks

More information

PRESENTATION ON FACTORING BY GLOBAL TRADE FINANCE LIMITED 19.06.2007. Global Trade Finance Ltd

PRESENTATION ON FACTORING BY GLOBAL TRADE FINANCE LIMITED 19.06.2007. Global Trade Finance Ltd PRESENTATION ON FACTORING BY GLOBAL TRADE FINANCE LIMITED 19.06.2007 o Incorporated in March 2001 o o o o ABOUT GTF India s first International Factoring Company RBI has accorded registration and Authorised

More information

Flashcards for Chapter 6 Introduction to Working Capital Management [ ]

Flashcards for Chapter 6 Introduction to Working Capital Management [ ] Flashcards for Chapter 6 Introduction to Working Capital Management [ ] [Type the abstract of the document here. The abstract is typically a short summary of the contents of the document. Type the abstract

More information

Unlocking cash in your supply chain

Unlocking cash in your supply chain Unlocking cash in your supply chain Rabo Supplier Finance Supplier Finance 1 Supplier Finance Improved stability in the supply chain 2 Supplier Finance process Four steps to Supplier Finance 3 Supplier

More information

THE EVOLVING FACE OF FACTORING. By Harvey S. Gross

THE EVOLVING FACE OF FACTORING. By Harvey S. Gross THE EVOLVING FACE OF FACTORING By Harvey S. Gross There is a common belief that companies factoring their receivables do so only when they are in trouble. Nothing could be further from the truth. Since

More information

Model Answer. M.Com IV Semester. Financial market and financial services. Paper code- AS 2384

Model Answer. M.Com IV Semester. Financial market and financial services. Paper code- AS 2384 Model Answer M.Com IV Semester Financial market and financial services Paper code- AS 2384 1. (I) Money Market is a market for short term loans or financial assets. As the name implies it does not deal

More information

1 INVENTORY PLANNING 2 PRODUCTION PLANNING 3 WAREHOUSE PLANNING. 9 Elective Module Options WHAT IS INVENTORY MANAGEMENT BASIC INVENTORY PRINCIPLES

1 INVENTORY PLANNING 2 PRODUCTION PLANNING 3 WAREHOUSE PLANNING. 9 Elective Module Options WHAT IS INVENTORY MANAGEMENT BASIC INVENTORY PRINCIPLES 9 Elective Module Options 1 INVENTORY PLANNING WHAT IS INVENTORY MANAGEMENT Inventory within the supply chain Different types of inventory and the cost of holding stock The implications of the "shrinking

More information

Bank Payment Obligation A new payment method

Bank Payment Obligation A new payment method Bank Payment Obligation A new payment method SWIFT s Corporate and Supply Chain Market Management team supplychain@swift.com July 2016 Digitisation of trade with BPO - a new payment method in your sales

More information

East Lancashire Chamber of Commerce International Trade Club - 20 July 2010

East Lancashire Chamber of Commerce International Trade Club - 20 July 2010 East Lancashire Chamber of Commerce International Trade Club - 20 July 2010 Export Finance & Introducing Chamber Invoice Finance Nigel Mills Director Strategic Markets Nigel Crosse Head of International

More information

Reducing Risk Through Bank-Assisted Open Account

Reducing Risk Through Bank-Assisted Open Account Reducing Risk Through Bank-Assisted Open Account Written by Bottomline Technologies and David Hennah of SWIFT This article was first published by GTNews Despite the recent credit crisis, globalisation

More information

When Treasury Meets Trade Trade finance as a key working capital optimization tool.

When Treasury Meets Trade Trade finance as a key working capital optimization tool. FEBRUARY 2012 When Treasury Meets Trade Trade finance as a key working capital optimization tool. Chris Bozek, Managing Director, Head of Global Trade and Supply Chain Products, Bank of America Merrill

More information

www.mfactors.co.za FACTORING TRADE FINANCE BRIDGING FINANCE

www.mfactors.co.za FACTORING TRADE FINANCE BRIDGING FINANCE www.mfactors.co.za FACTORING TRADE FINANCE BRIDGING FINANCE Who is Merchant Factors? Merchant Factors was founded in 1998 by our CEO, Johnny Philippou. It had become quite evident at the time that most

More information

SCALING UP AGRICULTURAL FINANCE

SCALING UP AGRICULTURAL FINANCE SCALING UP AGRICULTURAL FINANCE Can Small Scale farmers be financed on commercial basis by a Financial Institution? The Case of KCB BANK RWANDA LTD Presentation profile 1. Rwanda s Agricultural scene 2.

More information

RAKfinance. Liability Certificate AED 500. Loan Statement Charges AED 500. Part Settlement of Loan

RAKfinance. Liability Certificate AED 500. Loan Statement Charges AED 500. Part Settlement of Loan RAKfinance Service and Price Guide with effect from 05-08-2015 Loan Processing Fee 2.50% of the loan amount* Liability Certificate AED 500 Loan Statement Charges AED 500 Early Settlement of Loan Business

More information

GUIDE TO INTERNATIONAL PAYMENT METHODS. Making international trade accessible to every business

GUIDE TO INTERNATIONAL PAYMENT METHODS. Making international trade accessible to every business GUIDE TO INTERNATIONAL PAYMENT METHODS Making international trade accessible to every business 2 As the globe is becoming smaller and international trade is becoming easily accessible, the issue of moving

More information

AL 98-9 Subject: Access to Financing for Minority Small Businesses Date: July 15, 1998

AL 98-9 Subject: Access to Financing for Minority Small Businesses Date: July 15, 1998 AL 98-9 Subject: Access to Financing for Minority Small Businesses Date: July 15, 1998 TO: Chief Executive Officers of all National Banks, Department and Division Heads, and all Examining Personnel PURPOSE

More information

SME SUPPORT AND FUNDING

SME SUPPORT AND FUNDING inspire. empower. connect Bahrain SME SUPPORT AND FUNDING A list of organizations that support and fund small and medium sized enterprises in Bahrain SME SUPPORT AND FUNDING SME Support Organizations Bahrain

More information

October 16 th & 17 th 2012

October 16 th & 17 th 2012 Enterprise Ireland Finance for Growth FX & Export Finance Workshop October 16 th & 17 th 2012 Michéal Doyle Area Head of Commercial Centres - AIB Commercial Banking A Relationship Model Aim to provide

More information

Index. call options 102 cap and floor options 103 capital goods 125 capital markets 145 capital risk 111 cargo insurance 16

Index. call options 102 cap and floor options 103 capital goods 125 capital markets 145 capital risk 111 cargo insurance 16 Index acceptance 50 accessory obligation 71 Act of God 24 advance payment 35 advance payment guarantee 77 adverse business risks 20 advising bank 48, 73 air waybill 43 amendments 55 annuities 150 anti-corruption

More information

THE EVOLUTION OF THE FINANCIAL SUPPLY CHAIN

THE EVOLUTION OF THE FINANCIAL SUPPLY CHAIN THE EVOLUTION OF THE FINANCIAL SUPPLY CHAIN WORKSHOP: EUROPEAN SUPPLY CHAIN FORUM EINDHOVEN UNIVERSITY OF TECHNOLOGY NOVEMBER 2013 By DIRK E. DRIESSENS MAE, MBA 1 The Solutions to Finance Working Capital

More information

GTR MENA EDITORIAL BOARD ROUNDTABLE

GTR MENA EDITORIAL BOARD ROUNDTABLE GTR MENA EDITORIAL BOARD ROUNDTABLE GTR Mena s editorial board gathered in Dubai to discuss how trade in the region is evolving and how banks are tailoring their business to match this. Bhandari: What

More information

Dubai Islamic Bank. Investor Presentation. Year End 2010

Dubai Islamic Bank. Investor Presentation. Year End 2010 Dubai Islamic Bank Investor Presentation ti Year End 2010 Disclaimer The information provided in this presentation should not be used as a substitute for any form of advice. Decisions based on this information

More information

Online Executive Certificate in International Credit & Trade Finance

Online Executive Certificate in International Credit & Trade Finance International Credit & Trade Finance Truly Global Focus. Truly Global Delivery. Thunderbird Online s facilitated online professional development programs provide you with a comprehensive education in core

More information

Streamline EDI Using A Managed Service

Streamline EDI Using A Managed Service Streamline EDI Using A Managed Service Simplifying Electronic Data Interchange Research Perspective Sponsored by Aligning Business and IT To Improve Performance Ventana Research 2603 Camino Ramon, Suite

More information

Electronic Invoice Adoption Benchmark Report

Electronic Invoice Adoption Benchmark Report Electronic Invoice Adoption Benchmark Report Based on the Results of PayStream s einvoice Survey Q1 2013 Featuring Insights on... Centralized vs. Decentralized AP Operations Underwritten in part by AP

More information

Trade Finance SME. Service and Price Guide with effect from 01-07-2015. Sight or Usance 0.20% per month (Minimum 0.60% but not less than AED 350)

Trade Finance SME. Service and Price Guide with effect from 01-07-2015. Sight or Usance 0.20% per month (Minimum 0.60% but not less than AED 350) Trade Finance SME Import Documentary Letters Of Credit Issuance: Sight or Usance 0.20% per month (Minimum 0.60% but not less than AED 350) Back to Back Letter of Credit Revolving Letter of Credit Standby

More information

Unlocking the Value through Supply Chain Finance Erste Group Banca Comerciala Romana Mannheim, 3rd of May 2012

Unlocking the Value through Supply Chain Finance Erste Group Banca Comerciala Romana Mannheim, 3rd of May 2012 Unlocking the Value through Supply Chain Finance Erste Group Banca Comerciala Romana Mannheim, 3rd of May 2012 Valentin Galatanu Executive Director Transaction Banking Unlocking the Value through Supply

More information

Terms and Techniques to Manage Receivables, Protect Assets and Enhance Working Capital

Terms and Techniques to Manage Receivables, Protect Assets and Enhance Working Capital Terms and Techniques to Manage Receivables, Protect Assets and Enhance Working Capital TERM / TECHNIQUE DEFINITION APPLICATIONS ADVANTAGES DISADVANTAGES Open Account Terms Seller makes shipment and awaits

More information

INVENTORY. Merchandising Firms COST OF GOODS SOLD. Traditional bookkeeping uses separate accounts for different types of transactions

INVENTORY. Merchandising Firms COST OF GOODS SOLD. Traditional bookkeeping uses separate accounts for different types of transactions Merchandising Firms Principles of Accounting Created 2005 By Michael Worthington Elizabeth City State University INVENTORY Traditional bookkeeping uses separate accounts for different types of transactions

More information

NEW MODELS FOR SCF THOMAS FAKHOURI BASWARE FINANCING SERVICES

NEW MODELS FOR SCF THOMAS FAKHOURI BASWARE FINANCING SERVICES NEW MODELS FOR SCF THOMAS FAKHOURI BASWARE FINANCING SERVICES SUPPLY CHAIN FINANCE THE WORKING CAPITAL OPPORTUNITY Today s supply chain finance solutions typically: Offer access to advantageous financing

More information

Dubai Islamic Bank Group announces Quarter 1, 2016 Financial Results

Dubai Islamic Bank Group announces Quarter 1, 2016 Financial Results Press Release: Dubai Islamic Bank Group announces Quarter 1, 2016 Financial Results Q1 2016 net profit up by 18 per cent to over AED 1 billion Dubai, April 27, 2016 Dubai Islamic Bank (DFM: DIB), the first

More information

Alternatives for Working Capital Financing

Alternatives for Working Capital Financing Alternatives for Working Capital Financing Advisory Day AG is authorised under German Banking Law (competent authority: BaFin - Federal Financial Supervisory Authority) and authorised and subject to limited

More information

Strategic Advisory Service

Strategic Advisory Service Strategic Advisory Service Helping Clients through Transactions and Transition Accelerating your vision Strategic Advisory Service 2 mergers acquisitions divestments listings However good your senior management

More information

Workshop Agenda Certified Commodities Analyst OBJECTIVE KEY AREAS FOCUS WHO SHOULD ATTEND. About your trainer UNIQUE MARKETS SPOT COMPLEX

Workshop Agenda Certified Commodities Analyst OBJECTIVE KEY AREAS FOCUS WHO SHOULD ATTEND. About your trainer UNIQUE MARKETS SPOT COMPLEX markets are one of the more diverse markets in the capital markets arena and feature in investment portfolios in an increasing manner although traditionally they are traded in physicals taking in the whole

More information