Intrepid Trade Finance Partnership Seeks to Close Yawning Funding Gap
(26 January 2022 – Global) Trade finance origination platform Olea, data provider Refinitiv, and supply chain fintech firm Seabridge TFX have partnered to offer bespoke short-term trade finance solutions.
The announcement cites a report by the Asian Development Bank (ADB), which revealed 40 percent of trade finance applicants rejected by banks were small and medium sized enterprises (SMEs). The ADB estimates the size of the trade finance gap to be up to US$1.7 trillion and growing each year.
Olea is an initiative by Standard Chartered and supply chain finance tech solutions provider Linklogis, while Seabridge TFX is backed by London Stock Exchange Group (LSEG) owned Refinitiv.
“Our three-way partnership aims to leverage on our respective strengths and expertise to create a digital trade financing solution that connects SMEs to alternate funders, allowing SMEs to access trade financing outside of the traditional banking channels, and for alternative funders to invest in the emerging trade finance asset class that offers them portfolio diversification at attractive risk-adjusted returns” commented Seabridge TFX CEO and Founder, Bhushan Rao to CT.
“There are clearly challenges faced by the banks and we think digitisation will help move the industry forward” said Global Head of Focused Markets at the LSEG, Neil Pabari.
Subscribe