DP World To Facilitate Trade Finance For SMEs Through CARGOES
According to the latest news on Oct. 15, 2021, DP World Financial Services Limited, a DP World company will start facilitating smaller organizations with easier access to trade finance as part of its agenda to become the global provider of trade finance services. In this regard, the firm has been issued a license by the Dubai Financial Services Authority that will enable it to operate as an authorized & reliable organization in the Dubai International Financial Center.
The newly licensed DP World Financial Services will connect small and medium organizations with suitable financial institutions through its latest introduced financing solution and fintech platform - “Cargoes”.
The platform will facilitate suitable financing solutions to exporters, importers, and logistics firms to help them bring global expansion smoothly & uninterruptedly. This fintech platform involves a web-based application that demands less documentation procedure and accelerates endorsement decisions upheld by insightful frameworks. Undoubtedly, fintech is driving financial growth to SMEs. The financial solutions accessible through Cargoes Finance incorporate trade finance, logistics finance, and inventory finance.
As per Mike Bhaskaran, DP World COO, Logistics and Technology, “Developing businesses often witness a shortage of capital and resources that are essential to bringing global expansion, often worsened by restrictive financial requirements and ample documents. We introduced Cargoes Finance to reduce these roadblocks, revealing new opportunities for SMEs to compete and reach an international market.”
“Due to the involvement of Cargoes Finance, we have witnessed several organizations efficiently connecting with global customers that were previously cost restrictive to access before. On the world level, SMEs handle 50% of trade, still, only a few of them have access to funding with minimal chances of it being approved.”
Cargoes Finance is currently available for shippers and small-to-medium business organizations willing to reach a wide global marketplace and it is also the recent addition to the Cargoes set of tools to smooth out end-to-end logistics and trade globally.
SMEs make great contributions to a country’s economy around the world but they often face difficulties globally whenever it comes to getting access to funding due to the limited information on their trading history. This is one of the main reasons why SMEs opt for trade finance.
Sultan bin Sulayem, chief executive and chairman of DP World said, “An easier access to trade finance is essential for the exporters, importers, and logistics companies to survive and develop in the international market as they are the leading drivers of the global economy.”
“Here, the Cargoes Finance platform facilitates financial institutions with the opportunity to lend stress-free and also supports smaller organizations to access the funds they require. It will be a lead generator and a great platform of business for financial institutions, and a chance of financing opportunities for global traders.” In a post-pandemic world, the trade finance industry is considering DLT adoption.
Since manual, & paper-based procedures are utilized by the shippers to move goods around the world, there is limited transparency on the current status of goods in transit. It troubles the financial institutions when it comes to financing the shipment, as per DP World.
In this scenario, DP World’s Cargoes Finance platform will provide real-time information on trade processing through its digitized international ports and logistic networks, and it will also provide financial institutions with the information they require to evaluate credit and compliance risks, as per the Dubai-based port operator.
As per Arif Amiri, chief executive of the DIFC Authority, “Working from the DIFC will provide DP World easier access to several financial services organizations in our ecosystem, that provide solutions that work with global trade through Dubai.”
“Those organizations will be capable of coordinating with the Cargoes platform, which facilitates a creative methodology concentrated on supporting SMEs who have a vital role to play in our economy.”
Source
https://www.thenationalnews.com/business/2021/08/11/dp-world-to-provide-trade-finance-from-difc-in-boost-to-smes/
Other news
-
31.05.2023
DP World and Standard Bank Partner to Expand Trade Finance in Africa
-
15.05.2023
G7 Leaders To Tighten Russian Sanctions on Trade & Energy
-
11.05.2023
BRICS New Currency To Challenge US Dollar Dominance In International Trade
-
08.05.2023
China’s Trade Fair Struggles To Draw Buyers As Slow Global Economy Growth
-
05.05.2023
BNP Paribas Joins Hands with Bank of China to Promote e-CNY
-
03.05.2023
UNCTAD to Host Third United Nations Trade Forum 2023
-
27.04.2023
China To Host Beijing Summit To Promote Global Trade, Investment
-
25.04.2023
South Korea Adds Back Japan To Its 'White List' On Trade
-
20.04.2023
Standard Chartered Signed a $700m Deal with IFC To Aid Global Trade Finance
-
17.04.2023
133rd China Import and Export Fair Took Place
Exchange Rates
- 01.06.2023
- Find out more