SBI Extends Global Trade Finance Solutions To Israeli Corporates
To make the Israeli corporates capable to cash the business opportunities arising out of the latest Abraham accords consisting of the regularization of ties between Israel and Arab states, the State Bank of India is providing trade finance services and instruments to them, as per a bank official.
The Israeli corporates have become capable to uplift their global trade activities on its track after the uncommon market threats and resultant idleness because of the COVID-10 pandemic leading to unusual lockdowns and closures worldwide, with a hopeful attitude for the near to medium term, explained by B V Ramana, the CEO of SBI Tel Aviv branch.
He further added, “In view of the revival of business activity in the coming months with vaccine approvals being accorded by various governments around the world, we are offering our services/products to the Israeli business community at competitive pricing to meet all their cross border trade finance needs.”
As the business potentials have been arising out of the latest Abraham accords consisting of the regularization of ties between Israel and Arab states, the Tel Aviv branch is strategizing to reach out to the exporters of Israeli.
Since SBI holds a dominant presence in the Middle East along with the Gulf region, in particular, it may act as an empowering agent and support for those seeking an immediate involvement in the trade ties with the UAE and Bahrain corporates.
The range of trade finance solutions and instruments for Israeli corporates that have been initiated by SBI include bill discounting services for global exports including India, expanding supplier’s credit/LC bill discounting, bill discounting depending on compensation authorization form LC issuing bank, and receivables financing under the open account trade.
Other global trade-related finance services include LC advising, LC confirmation, LC bill collection, and bank guarantees.
The initiative taken by SBI has been appreciated by the Israel-India Chamber of Commerce which anticipates SBI as a “natural partner”.
Raviv Byron, the President of Israel-India Chamber of Commerce said, “We see the State Bank of India as a natural partner and we cooperate on a very wide range of activities with a lot of support from the SBI Ramat Gan branch for our Chamber. We have also recommended many of our members to open banking activity with the SBI.”
He further added, “As far as the activity of Israeli companies wishing to work in the UAE and the other Gulf States is concerned, SBI has a big advantage by having a working presence in both Israel and the Gulf states with registered corporate banking in both.”
As far as the news of financial opportunities arising out of the Abraham accords is concerned that has resulted in the regularization of ties between Israel and Arab countries, it is the latest topic of the conversation in the market. Several delegation visits have also taken place between these countries fighting against COVID-19 pandemic related complexities.
Anat Bernstein-Reich, Chairperson of Israel-India Chamber of Commerce and Vice President of the Israel-Asia Chamber of Commerce told, “Having an SBI branch in Israel is a major driver to promoting Israel-India trade relations. More than that, this is a bridge to the Israeli businesses not just to India, but to SBI's presence worldwide.”
By observing the trade potential breaking out of the latest political developments in the area, a webinar has been organized by the SBI recently in the company of the bilateral chamber welcoming Israeli corporates. It has resulted in a huge consideration with around 47 candidates including 38 corporates.
The Tel Aviv branch of SBI has been in existence since 2007 fulfilling the banking necessities of different industries along with business portions. SBI has already 233 dealings with 32 Countries and foreign banking association with 225 banks across 56 countries.