How COVID-19 is changing trade finance needs
Economic statistics for growth (or should we say contraction) look like something from another era: Eurozone -5,5%[i], advanced economies -6,1%[ii]. World merchandise trade volumes are expected to decrease between -13% and -32%, depending on the scenario laid out by the WTO[iii]. The importance of trade finance front office digitization It’s the kind of events that […]
Innovation might close trade finance gap
COVID-19 has shown to the world the true colors of centralizing manufacturing in one country, China. As the economy stopped during the first lockdown, corporates started considering the idea of distributing their manufacturing needs across the globe, mostly towards new emerging markets. That is, however, easier said than done. According to an article published by […]
Bridging the financing bottleneck in Asia
Digital solutions have proven their worth in the pandemic. Even before that, platform solutions provided a new infrastructure for trade finance. Beyond the aspect of efficient settlement, mediating supply and demand is also a significant application area. Bottleneck in trade finance After the decline in global trade and the resulting supply difficulties, building efficient supply chains is […]
Call to close Trade Finance gap in Africa
Lower commodity prices and scarcer demand have been pushing some African countries into deeper recessions, especially those heavily depending on the export of metals and oil. According to GTR the risk of sovereign default has grown across countries in Africa because of currency risk and higher debt levels. In such a challenging environment, trade finance […]
Will COVID 19 pandemic result in structural changes in trade?
The world economic crisis resulting from the pandemic has affected almost all countries in the world. The recovery is now expected in most regions, thanks to a catch up effect, expectations of a vaccine and very supportive fiscal policies.The crisis will nevertheless have lasting effects. It will bring or accelerate structural changes and will impact […]
Korea and India: A Trade Finance Corridor Worth Watching
India and South Korea are strengthening one of Asia’s most active bilateral trade relationships. As a result, trade finance activity between the two countries is accelerating – and the data signals a corridor with significant room to grow. IRS. “Publication 535: Business Expenses.” Page 4. Why This Corridor Is Gaining Momentum South Korea and India […]