A company’s understanding of risk—across partnerships and operations—is becoming the primary defence in times of heightened uncertainty. For trade finance, this plays out most acutely in the supply chain. From Ukraine to the South China Sea, ongoing cyber and wartime security threats mean that the supply chain finance market feels the full weight of geopolitical unrest. 

Talking about trade and sustainability can be a double-edged sword: international trade is denounced by climate and anti-globalisation activists for polluting the planet, but many see great potential in trade to power a green transition. Like it or not, trade makes up almost 30% of global GDP; it has also lifted over a billion people out of poverty in the last decades, and is going to become an increasingly central part of the fight against climate change as more parts of the world become integrated in the global market.

To better support growing small businesses, the U.S. Small Business Administration (SBA) recently announced a new pilot loan program that intends to help close the trade finance gap experienced by SME exporters. The 7(a) Working Capital Pilot (WCP) is the SBA’s first new loan program introduced in more than a decade and will be able to support lines of credit up to $5 million. 

The 2024 CGI and BAFT Trade Technology Survey provides insights into how financial institutions navigate these changes and plan for the future. The survey reveals the strategic priorities and challenges which banks face and offers a comprehensive view of their adaptation strategies. 

As businesses strive to optimise processes, enhance efficiency, and meet growing customer demands, the tools they use need to evolve as well.

India introduced digital Trade Receivable Discounting System (TReDS) platforms in 2017 to help SMEs overcome late payment issues, with three licensed entities expected to reach $25 billion in throughput by FY 2024-25.

The global economy has always undergone changes. From the agrarian-based economy in the 18th century to the advent of the Industrial Revolution, from sailboats to steamships, there has always been a shift in economy, industry, and, ultimately the dynamics of a country.

Mansa, a pioneering fintech providing finance to emerging markets, announced on July 29 that it would provide its first pool on Base, a low-cost Ethereum-equivalent L2 blockchain. This is a significant milestone for Mansa, whose mission it is to democratise access to financing and liquidity to emerging markets in Africa; the launch is expected to boost cross-border payments and increase take-up of trade finance instruments in the region, especially for SMEs. 

Finastra, a global provider of financial software applications and marketplaces, today announced its partnership with CredAble

At the 56th Annual FCI Meeting in Seoul, Deepesh Patel, Editorial Director at Trade Finance Global, was joined on Trade Finance Talks by Steven Beck, Head of Trade and Supply Chain Finance, Asian Development Bank to discuss the role of MDBs in the facilitation of trade and supply chain finance.