JPMorgan and IFC aim to boost Asia-Pacific trade

by Richard Kilner

Story link: JPMorgan and IFC aim to boost Asia-Pacific trade

JPMorgan and IFC (part of the World Bank Group) are together launching a new trade finance structure in Asia-Pacific, designed to bolster regional trade.

The funded trade advance will offer post-import and pre-export financing to banks, and combines multiple transactions into a single trade facility.

The advance, which is a part of the IFC Global Trade Finance Program, also incorporates the innovative fundraising method of using risk-mitigated avenues.

The initial bank that will benefit will be Pakistan’s largest privately owned institution, Habib Bank Limited.

Some $55m (£29m) will be raised by Habib Bank to help support its clients’ international trading, enabling the bank to enhance its financing options as Pakistan trade flow increases.

Asia-Pacific Trade Services and Logistics Management chief Asif Raza describes the new move as a good example of the fruits grown under JPMorgan’s strategy of partnering with multilateral groups such as the World Bank Group.

Tariq Mateen Khan of Habib Bank has expressed the firm’s excitement at working alongside the IFC and JPMorgan on the innovative new scheme.