Supply Chain Finance

ESG is certainly not a new development, but its growth and importance in financial services have never been higher. Whilst there has been a big focus on the “E” in ESG, we’re also seeing a lot of progress in tackling other aspects, such as social action to address societal challenges. One of the biggest social challenges in global trade is the huge, and growing, finance gap.

To put it lightly, the past few years have been a rollercoaster ride for trade finance. Recent challenges have pushed the industry to the boundaries, which has created significant angst for many. However, this struggle also has a silver lining.

The geographically dispersed nature of international trade creates inherent difficulties when it comes to trusting a counterparty that may be located on the opposite end of the world.

At the International Chamber of Commerce (ICC) UAE’s Trade Facilitation Summit, Trade Finance Global (TFG) spoke with Steven Beck, head of the trade and supply chain finance program at the Asian Development Bank (ADB).

Supply Chain Finance can, and should, be a force for good in ensuring much-needed liquidity reaches all suppliers, regardless of their size and meets the objectives of buyers.

Your Monday morning coffee briefing from TFG, 3rd April 2023

Persistent structural gaps within and between the world’s economies will decisively influence trade in the years ahead. This was one of the key findings in the latest Future of Trade report.

As uncertainty remains in global supply chains and trade finance, the International Trade and Forfaiting Association’s (ITFA) Lynn Galkoski, Director, Trade Product & Portfolio Management with BNY Mellon Treasury Services shares her insights on trends that may arise this year.

After COVID-19, the commodity trade finance industry experienced a period of great recovery. Trade finance covers a broad range of financing arrangements for the production, exporting and selling of commodities. 

Nine ocean carriers recently committed to 100% adoption of an electronic bill of lading (eBL) by 2030, with a waypoint goal of 50% adoption within five years. It is a significant step along the road to digitalisation, one that heralds a future for container trade processes that are simpler, more sustainable and more resilient.

Trade Finance Global (TFG) spoke with Pamela Mar, managing director at the ICC Digital Standards Initiative, to explore the key themes driving trade digitisation and their potential impact on trade and trade finance in 2023.

Your Monday morning coffee briefing from TFG, 27 February 2023

A court ruling on 22 February heard that the Marco Polo Network has debts of more than €5.2 million (£4.6 million).

While consensus and recognised standards exist for carbon footprint measurement and reporting, carbon offsetting and the quality of underlying projects are still subject to debate.

2022 was a year of seismic and rapid changes for international trade and trade finance. War in Europe, COVID-19, and inflation created unimaginable disruptions in the industry. This dynamic phase is creating opportunities and gives way for new entrants in the ecosystem.