Connect with us

E-Financial

IFC, Citibank Provide $1.2 Billion to Support Trade in Emerging Markets

Published

on

Kindly share this post

IFC, a member of the World Bank Group, and Citi announced the signing of a $1.2 billion risk-sharing facility to help stimulate the growth of trade in emerging markets and to support economic development. This initiative will work in partnership with global and regional banks with the goal of expanding the availability of trade at a time of reported global scarcity.

The signing marks the extension of an existing facility under IFC’s Global Trade Liquidity Program, first launched by IFC and Citi in 2009.  Since its inception, these collaborative efforts have financed a total trade volume of US$29 billion, with around $4.5 billion in IDA countries (International Development Association, the World Bank Group fund for the world’s poorest countries), and $11.1billion in low income and lower middle-income countries.

This long-standing partnership has facilitated financing for 4,092 trade transactions through 163 banks in 46 emerging market countries, of which 25 are low and lower middle-income countries.

“Citi’s partnership with the IFC has been a tremendous success, helping to stimulate the recovery and growth of global trade in emerging markets,” said John Ahearn, Global Head of Trade, Citi Treasury and Trade Solutions. “We look forward to continuing our partnership with banks, corporations, and the public sector across emerging markets to continue to stimulate global trade.”

“As we operate in an environment challenged by de-risking and continued volatility, this partnership with Citi is an important way to support and expand trade flows involving the emerging markets,” said Paulo De Bolle, IFC Director of Financial Institutions Group. “Citi is a key IFC partner and we are excited to continue this partnership through the Global Trade Liquidity Program and look forward to other collaborative opportunities with Citi.”

The facility extension will expand the availability of trade credit for clients in emerging markets over a four-year span through a risk-sharing structure.

IFC and partners will contribute $600 million, and Citi will provide an additional $600 million. IFC announced an extension of the GTLP program in 2012 to continue promoting international trade growth in emerging markets, including many IDA countries.

Citi will use the funding to originate and fund trade finance transactions in Africa, Asia, Central and Eastern Europe, Latin America, and the Middle East, enabling its bank clients to extend financing to local importers and exporters. The funding is expected to support emerging market trade flows of more than $5billion through 2022.

Combining a strong track record, a broad array of capabilities, and most importantly, advisory experience gained from working closely with leading companies around the globe, Citi is one of the market leaders in supporting client needs. Through a legacy of over 15 years of Supply Chain Finance experience, Citi also supports over 2,300 buyers and 70,000 suppliers to extend the working capital cycle.

IFC’s Trade and Commodity Finance programs offer guarantees, risk-sharing facilities, loans and other structured products to support trade in emerging markets. Through these various products, IFC has supported more than 400 financial institutions and thousands of underlying companies in more than 90 countries across all regions of the globe. Trade finance is a priority for IFC because we have seen the high development impact it can have on developing countries.


Kindly share this post
Continue Reading
Comments

E-Financial

FG Sacked IST Members over Fraud- Ahmed

Published

on

Kindly share this post

Mrs Zainab Ahmed, minister of Finance Budget and National Planning, has said the Federal Government sacked some past members of the Investments and Securities Tribunal (IST) as they indulged in corruption.

FG Sacked IST Members over Fraud- Ahmed

Inaugurating the new members, the minister charged the new members to eschew corruption and be forthright.

Bar. Azi Amos Isaac was appointed as Chairman for a five year term and Bar. Nosa Smart Osemwengie, was re-appointed as member for a second term of four years.

“The problem with the tribunal has been infighting amongst members, lack of industrial harmony and series of complaints bordering on maladministration.

“This has been the bane of the tribunal and a source of embarrassment not only for the Ministry of Finance but for the government in general,” Ahmed said.

The new chairman, Azi, assured the finance minister that, “the teething issue of restiveness has been addressed since he assumed duty,” adding that, “The place is calm and the staff have become very supportive.”

Azi said since 2003, the tribunal has “given judgment in the value of assets worth over N844 billion and that from 2017 to date, they have given decisions in monetary value totalling over N28bn.

“It has not failed in its adjudicatory responsibility.

“It has carried out its assignment with candour and integrity and intends to improve on what has been on ground.”

 


Kindly share this post
Continue Reading

E-Financial

CBN Bans Customer-to-Customer Forex Transfer

Published

on

Kindly share this post

Central Bank of Nigeria (CBN) has banned transfer of foreign exchange (forex) from one customer to another.

CBN Bans Customer-to-Customer Forex Transfer

According to the apex bank, forex cash lodgements into domiciliary accounts can only be done by the account owners henceforth.

An internal memo available in the media space explains that the new guidelines are necessary to review the utilisation of inflows into customers domiciliary accounts.

The circular states: “Forex inflows cannot be credited to customers until the legitimacy of funds is established.

“They can have unfettered access by telegraphic transfers up to a limit of $40,000 monthly for payment of medical bills, school fees, subscription to professional bodies subject to existing CBN guidelines.

“Transfers from one customer to another is prohibited. Transfer within related companies is allowed subject to a limit of $50,000 per month.”

It recommended that proceeds from non-oil exports should be sold to banks, used for repayment of dollar term loans, and self-utilisation for trade transactions for LC, bills and Form A.

Also oil export proceeds from E&P companies are to be used to pay contractors and service providers employed by the oil companies in addition to the recommended uses for non-oil FX proceeds.

Offshore forex inflows from other Nigerian banks and internal account to forex transfers sourced from offshore inflows are to be used for trade transactions subject to eligibility for E-Form M.

“Upon confirmation of the legitimacy of the inflows, customers can have unfettered access, subject to a maximum of $50,000,” the document read.

“Utilisation for trade transactions subject to processing of eligible trade transactions using E-Form M. Payment for services must be backed with demand note from offshore beneficiary and other regulatory documents.

“Related party transfers are allowed to the maximum of the inflow received. The transfer request should be backed by a signed instruction from the account holder.” Payment of government fees and levies are also allowed to the maritime, oil and gas, aviation. government parastatals and export processing zones.

 


Kindly share this post
Continue Reading

E-Financial

Stanbic IBTC, Standard Bank, Listed Among Top African Corporate Brands

Published

on

Kindly share this post

Stanbic IBTC Holdings PLC and its parent company, Standard Bank, have emerged amongst the top winners of the 2020 Tech Times’ Africa LinkedIn Corporate Brand Awards.

The Stanbic IBTC Group emerged the second position in the category, with total votes of 3,515, out of 24 firms nominated for the award. Standard Bank placed the fourth 2,494 votes.

Nominations for this award opened to the public on July 1, 2020 and closed on July 14.

Shortlisted nominees were announced on August 24 while voting commenced immediately and voting ended on September 8, 2020.

The Corporate Brand Awards was instituted by Tech Times’ Africa, an online platform for leading technology, innovation, and startup stories.

Expressing his delight on the awards, Dr Demola Sogunle, Chief Executive, Stanbic IBTC Holdings PLC, said that both Stanbic IBTC Holdings PLC and Standard Bank had been deliberate and consistent in making a remarkable impact in Africa’s financial sector.

“Our sincere appreciation goes to the organisers of the Africa Corporate Brands Awards and to every member of the public who voted. This is a reflection of the high level of trust and confidence that the public has reposed on us,” he added.

Dr Sogunle further said that Stanbic IBTC Holdings PLC would remain relentless in portraying the organisation as one of the most influential corporate brands in Africa.

He stated: “Stanbic IBTC Holdings PLC and Standard Bank have relentlessly contributed to driving the growth and development of the African financial ecosystem. These awards affirm our efforts, and we are encouraged to raise the bar continually.”

The Africa Corporate Brand Award is designed to identify and recognise outstanding companies. It also projects their achievements and impacts on African society and the world at large.


Kindly share this post
Continue Reading

Trending