GTR Ventures’ Post

Accessible #workingcapital and trade credit liquidity is essential for African #SMEs and corporates, however with the continent’s trade finance gap growing, the supply of adequate resources is often in short supply. In a trade climate marked by volatility of currency rates, borrowing costs and hard currency, the need for quick and available credit services is key to meeting Africa’s domestic and global trade needs. This expert-led session will examine the solutions to address the trade finance gap and unlock working capital that meets African export needs, such as leveraging global capital pools to improve foreign currency access for SMEs, and developing open account products to overcome structural barriers in invoice and receivables finance. Priorities for leveraging cash flow and payment cycle solutions like supply chain finance and factoring will also be considered, as well as navigating legal and regulatory challenges and expanding digital credit solutions through collaboration between local banks and #FinTech’s, helping deliver innovation in payments and financing. Featured speakers: 📢 Florian Wicht (International Finance Corporation (IFC) 📢 George Wilson (Investec) 📢 Kuben Pillay (Absa Corporate & Investment Bank) 📢 Bob Blower (CertiQi) 📢 Nathalie Louat (International Finance Corporation (IFC) 📢 Sam West (Africa Global Trade Finance)   Join us in #London on November 14 for #GTRAfrica, the premier event in the #UK showcasing industry leading insights into the latest trends and developments in African trade and exports. 👉 Secure your place at https://lnkd.in/df6hRHCp or contact bookings@gtreview.com for more information. #GTRAfrica #TradeFinance #ExportFinance #InfrastrcutureFinance

🌍 New €215m facility by IFC - International Finance Corporation, Deutsche Bank aims to enhance trade in Africa 🤝 To assist in providing essential financing for importers and exporters of crucial goods in Africa, particularly in smaller, fragile, and conflict-affected states, IFC has established a risk-sharing facility with Deutsche Bank worth up to €215 million. 🗣️ “IFC’s risk participation with Deutsche Bank leverages our issuing bank network to enable trade flows in Africa with our Global Hausbank clients and echoes a shared commitment to ongoing economic growth in emerging markets,” stated Borislav Ivanov-Blankenburg, Global Head of Documentary Trade Finance for Deutsche Bank. 📖 Read the news by following the link in the comments section below ⬇️ #tradefinance #internationaltrade #Africa

The Impact of Trade Finance in Africa Trade finance is revolutionizing the banking landscape in Africa, offering unparalleled opportunities for economic growth and business expansion. As collateralized lending becomes less prevalent, banks are increasingly focusing on structuring trade finance contracts that provide tailored solutions to meet the specific needs of African businesses. This shift not only enhances financial accessibility but also mitigates risks and fosters a more robust trading environment. International correspondent banks are crucial in this transformative journey. By establishing reliable lines of trade with local African banks, they are opening doors to major international trade routes, facilitating smoother and more secure transactions. This collaboration is essential for integrating African businesses into the global market, promoting sustainable economic development, and driving the continent's economic prosperity. #TradeFinance

African Development Bank Approves $40 Million Trade Finance Guarantee for Dashen Bank The African Development Bank has approved a $40 million trade finance transaction guarantee facility to support Dashen Bank's activities in Ethiopia. The facility aims to provide support to SMEs and local corporates for their import and export trade finance requirements, while also promoting intra-Africa trade and contributing to the implementation of the African Continental Free Trade Area agenda. The African Development Bank will provide a guarantee of up to 100% to confirming banks for the non-payment risk arising from letters of credit and similar trade finance instruments issued by Dashen Bank. Supporting trade is a key priority for the African Development Bank, as trade finance is a crucial driver of economic growth and cross-border trade, particularly in emerging markets. The transaction guarantee facility is an unfunded instrument that provides up to 100% non-payment risk cover to confirming banks for trade finance transactions of eligible Africa-based issuing banks, enabling the Bank Group to support local African banks operating in low-income countries and transition states. #Africa #Ethiopia #AfDB

African Development Bank Group and @Trade and Development Bank (TDB) Group strengthen trade finance partnership through a Trade Finance Unfunded Risk Participation Agreement African Development Bank Group and the Eastern and Southern African Trade and Development Bank (TDB Group) have signed an agreement for a $150 million Trade Finance Unfunded Risk Participation Agreement (RPA) facility. The agreement was concluded on the sidelines of the African Investment Forum in Rabat, Morocco. The RPA aims at bolstering intra-Africa trade, promoting regional integration, and contributing to the reduction of the trade finance gap in Africa. The facility will provide guarantee cover of 50% and up to 75% for transactions in Low-Income Countries (LICs) and transition states. The facility is expected to support about $1.8 billion of trade over the next three years. Click here to read more: https://lnkd.in/dW3yDRks

𝗔𝗡𝗔 𝗕𝗥𝗘𝗔𝗞 𝗡𝗘𝗪𝗦 Visit our website and read our hourly news briefs to keep up with the latest news from the continent. IFC - International Finance Corporation #IFC #Ecobank #tradefinance #Africa #economicdevelopment

The trade finance gap across the globe amounts to an estimated USD 1.5 trillion annually, with Africa accounting for 5.5% of this gap. African traders, in particular, have long been facing challenges when it comes to conducting business within and outside the continent due to this gap in trade finance. This problem has persisted for some time and is currently estimated to be between USD 80 billion to USD 120 billion, which has only widened over the past decade. To address this issue, it is essential to increase efforts to boost intra-African trade, promote regional integration, and reduce the trade finance gap. Investing in African trade finance can offer a unique opportunity for those seeking an asset class that comprehensively supports SDGs. This should be done in alignment with the ongoing implementation of the African Continental Free Trade Area. #AmilaInsights #Trade #Finance #Development #Growth #African

Trade is not only a catalyst but also a remedy for economic growth, and trade finance the oil that facilitates cross-border and international trade. In the context of Africa, the importance of ensuring affordable and accessible trade finance for MSMEs cannot be overstated. Empowering MSMEs in trade finance is an important part of the work we do at Amila Africa. Here is how: 1. Structuring and facilitating trade finance transactions. 2. Building capacity and financial literacy through education and training programs. 3. Researching and advocating for alternative financing mechanisms. 4. Fostering collaboration between financial institutions for tailored solutions.

Standard Bank is proud to sponsor GTR Africa London 2024. Export Credit Agency Finance is an important means to finance infrastructure and energy across sub-saharan Africa, and the recent developments around ECA product innovation and flexibility are really positive. We look forward to engaging discussions on these developments, and to hearing Greg Fyfe's views in his panel on ‘A trajectory for export credit deals and the impact of OECD reform on demand’.   Global Trade Review (GTR) Standard Bank Corporate and Investment Banking

Speaking at GTR Africa 2024 in London, Greg Fyfe was upbeat: 'The African ECA market has seen a rebound in activity, with over $23bn in new business being written last year alone, a significant increase on prior years. In addition, the modernisation of the OECD Arrangement to introduce greater flexibility has been welcomed by the industry and African sovereign and project borrowers. We believe that local and regional banks have an important role to play in ECA financing, with an increased appetite to provide ECA guaranteed and tied commercial funding in a range of currencies and across a broad spectrum of countries.' Global Trade Review (GTR) Standard Bank Corporate and Investment Banking