What is Trade Finance?

• Trade finance is the financing of goods or services in trade transaction at any point of trade cycle from an exporter to the end importer.
• An exporter requires payment for their goods or services, and an importer want to make sure they are paying for the correct quality and quantity of goods.

Benefits to Customer

• Trade finance benefits not only for business growth, but it secures trade supply chain relationship.
• It helps businesses grow by guaranteeing and financing when exporters and importers do not know or trust each other.
• Trade finance facility allows businesses offer more competitive terms by reducing payment gaps in trade cycle and indirectly increases revenue from potential business.

What are the products for trade finance?

• Financing which accommodates imports
• Financing which advances exports receivables
• Guarantees and bonds

Managing risks is the key to growing a successful business internationally or domestically. By using the correct and specific type and structure of trade finance products, these risks could be mitigated. The possible risks in trade finance are:

• Product risks
• Manufacturing risks
• Transport risks
• Currency risks
• Country risks
• Commercial risks
• Fraud risks
• Documentary risks

• View More

• Make an enquiry

• Frequently Asked Questions