cat/supply-and-value-chain-finance
Egyptian women who constitute half of the population, represent tremendous economic potential, while contributing to only 22.5 percent of total labor force - offer an estimated credit demand of USD283 million among female-owned SMEs.
Remarkably, a small fraction of firms account for most of the job and output creation in high-income and developing countries alike. Does this imply that the path to enabling more economic dynamism lies in selectively targeting high-potential firms? Or would pursuing broad-based reforms that minimize distortions be more effective?
New technology surrounding payments and distributed ledgers is opening up tremendous new opportunities in trade and supply chain financing, moving away from the paper intensive, slow and costly procedures that have posed particular challenges for SMEs. This webinar will focus on the innovations presented by the R3 CORDA technology, which is being applied by a number of banks and fintechs in redefining rules and procedures in the trade and supply chain areas.
About the speakers
James Anderson, executive vice president, Digital Payment Products, discusses how Mastercard is using supply chain to power business, and looking at more ways in which they can make payment flows within the supply chain more efficient. In Kenya, Mastercard partnered with Unilever and Kenya Commercial Bank (KCB) to create Jaza Duka, a program that facilitates access to credit for small businesses, in this case merchants who are buying from Unilever.
During the Global SME Finance Forum 2018, Twinco Capital's CEO, Sandra Nolasco, demoed the company's services at the TechPitch on November 6.
Twinco Capital is a global supply chain that offers a global supply chain finance solution that covers the full production cycle of SMEs and corporates.
SME Finance Forum member, European Investment Bank (EIB) loaned Belarusian Belagroprombank a €50 million loan to expand SMEs.
Funds will be offered to SMEs that employ up to 250 people with the state share in their charter capital of at most 25 percent, according to the article. “We intend to offer loans to our clients for up to six years, with the interest rate of three percent per annum,” said Anatoly Lysyuk Chairman of the Board for Belagroprombank.
The Organization for Economic Cooperation and Development (OECD) published a study examining the role SMEs play in economic growth and social inclusion in Indonesia.
Data from the Ministry of Co-operatives and SMEs revealed, Indonesian SMEs account for 97 percent of domestic employment and 56 percent of total business investment.
The report analyzes the policy measures in place for SMEs by the government in Indonesia and emphasizes paying stronger attention to future measures that foster “firm-level productivity” through increased innovation activity in SMEs.
SME Finance Forum member, 4G Capital joins the Centre for Financial Inclusion’s Smart Campaign to define global standards for client protection across the digital financial services industry.
According to the article, the Smart Campaign, creates an environment in which financial services are delivered safely and responsibly to low-income customers by maintaining a rigorous certification program.
FinDev Gateway compiled a guide to help individuals better understand what blockchain is and how it contributes to financial inclusion and development.
According to the article, blockchain is a digital ledger which keeps records of all transactions taking place on a peer to peer network. A four step infographic, listing: digital ledger, encrypted information, peer to peer, data sharing and decentralization explains the basic concepts of blockchain.
Despite providing immense financial support for the economy, SMEs still face a multitude of challenges and lack support. According to the article, 72 percent of all startup funding went into only three companies in the region (Africa) in the span of two recent years.
Supply and demand are the causes inhibiting SMEs’ access to support. On the supply side, investors, banks and financial institutions are leery in providing capital before the post-revenue stage. On the demand side, entrepreneurs are not creating bankable or investable business models.
