The Daily Observer (Banjul)
Assan Sallah
2 July 2009
Standard Chartered has finalized its Global Trade Liquidity Programme (GTLP) partnership with the International Finance Corporation (IFC), a member of the World Bank Group.
As the first to bring the GTLP into operation, Standard Chartered is ready to make the first drawdown of funds in the next 7-10 days. The Bank estimates that the initial drawdown of funds will be in the region of US$200 million - US$250 million, representing about 20% of the available fund size of US$1.25 billion. The full US$1.25 billion programme is expected to be exercised over the next few weeks to support markets which need it most.
Standard Chartered's existing global network and infrastructure, a key feature of the Bank's value proposition in the GTLP, will enable the quick delivery of liquidity to regions and countries when and where it is most needed. The fast deployment of funds will provide a much needed stimulus to global trade finance. In particular, the Bank envisages that the programme will give a critical boost to trade flows to and from Africa, South Asia, Middle East and Latin America.
Importers and exporters in these regions will directly form an injection of liquidity and capacity into the local trade finance markets. The increased capacity will be delivered either directly and seamlessly to clients dealing with Standard Chartered Bank or indirectly through other local banks which have access to increased trade finance trough Standard Chartered. "As the first bank to operationalise the GTLP, we anticipate that the funds will be drawn down quickly within the next few weeks.
Standard Chartered and our partners are committed to deploying the much needed liquidity in a fast and seamless manner to the markets. Our clients will directly and immediately benefit from this programme since they do not need to request or apply for the funds. We are very pleased to be the first to take this innovative step together with the IFC to boost global trade flows," said Karen Fawcett, Group Head of Transaction Banking, Wholesale Banking, Standard Chartered Bank.
About the GTLP
The Global Trade Liquidity Programme (GTLP) is a global trade initiative of the IFC, where funds are raised from international finance and development institutions, governments, and banks, to help extend trade finance to underserved importers and US$50 billion in trade volumes and it aims to address trade finance liquidity constraint arising from the global credit crunch.
Be the first to Write a Comment!
Copyright © 2009 The Daily Observer. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.
AllAfrica aggregates and indexes content from over 125 African news organizations, plus more than 200 other sources, who are responsible for their own reporting and views. Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica.
