ING, Turk Eximbank and the World Bank partner to support Turkish exporters
ING is collaborating with Turk Eximbank and the World Bank on a €380m loan to provide medium and long-term financing for Turkish exporters. The loan will finance sub-loans for SMEs and large companies. Approximately 10% of the funding will be allocated to Turkish companies that support gender equality in the workplace.
“We are delighted to work with Turk Eximbank on this project financing that helps small and medium enterprise (SME) exporters to continue doing business and grow stronger during the coronavirus crisis," said Ayşegül Akay, head of Wholesale Banking at ING in Turkey. "Exporters are one of the main drivers of the Turkish economy and this loan is a valuable contribution to it."
The coronavirus crisis has magnified an existing issue in the export performance of Turkish businesses: limited access to long-term finance. This loan is the latest in a series of investments by the World Bank, which make long-term financing available to SMEs as well as to companies led by women. These companies face particular constraints in obtaining finance, according to Johannes Zutt, World Bank country director for Turkey.
SMEs represent 99% of all firms in Turkey, accounting for 73% of total employment, 62% of total revenue, 58.3% of total investment, and 55.4% of total exports, according to the World Bank.
NatWest joins Partnership for Carbon Accounting Financials
NatWest Group has become the first major UK bank to sign up to the Partnership for Carbon Accounting Financials (PCAF). PCAF is collaboration between financial institutions worldwide designed to enable harmonised assessments and disclosures of greenhouse gas emissions financed by loans and investments. With nearly 70 banks and investors from five continents, the group is expanding in North America, Latin America, Europe, Africa and Asia-Pacific.
“We are determined to lead on the collaboration and cooperation that is so critical to tackling the causes of climate change and transitioning to a low carbon economy," said Katie Murray, CFO of NatWest Group. “We are therefore delighted to be joining forces with other leading financial institutions to develop methods for financial institutions to transparently disclose the environmental impact of their financing.”
In February this year, the banking group set out an ambition to become a leading bank in the UK and Republic of Ireland helping to address the climate challenge. As part of its strategy, NatWest Group set itself a challenge to at least halve the climate impact of its financing activity by 2030, with the intention to do what is necessary to achieve alignment with the 2015 Paris Agreement.
The bank says that joining PCAF demonstrates its determination to not just play its part, but to lead on the collaboration and co-operation that will be so critical in influencing the transition to a low carbon economy.
Mastercard and Bank of Shanghai look to enhance cross-border business payments into China
Mastercard and Bank of Shanghai have announced the ability for businesses in virtually any geography to more efficiently, seamlessly and securely send payments to China. With Mastercard Cross-Border Services, business customers will be able to transfer money to any local bank in China, reduce the cost of transactions, and access real-time exchange rates for the Chinese Yuan, all with a reduced need for additional documents and process.
Bank of Shanghai joins a growing list of global banks working with Mastercard to offer people and businesses a more predictable and more certain way to pay and get paid across borders. Mastercard Cross-Border Services connects 90% of the world’s population via cards, bank accounts, digital wallets, cards and cash agents, through a single and secure point of access.
“China is a critical market for Mastercard’s customers, so we are delighted that Bank of Shanghai will help us advance the modernisation of cross-border payments into China," said Stephen Grainger, EVP, New Payment Platforms at Mastercard. "Our Cross-Border Services will enable our global partners to deliver a more convenient, cost-effective and certain payment experience for people and businesses everywhere.”
“Cross-border financing has always been a core offering of Bank of Shanghai and the current climate has led to a heightened customer demand for this service," says Huang Tao, vice chairman of Bank of Shanghai. "Now, more than ever, it is critical for us to support our customer’s international trade requirements, ensuring efficient and timely cross-border payments. Enabling Mastercard Cross-Border Services will ensure an improved cross-border payment solution with high efficiency, low cost and enhanced compliance. We believe that the Mastercard partnership will have a huge impact on businesses and consumers and will ultimately serve to support the growth of Chinese enterprises globally.”
Like this item? Get our Weekly Update newsletter. Subscribe today
- This item appears in the following sections: