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Prominent corporates score innovative bank support

This week, both Unilever and BASF have seen their treasury departments benefit from collaboration with core banking banking partners, as BNP Paribas and Deutsche Bank have stepped up in the areas of sustainability and supply chain finance.

Sustainable deposits for Unilever

BNP Paribas has announced that it has closed its first sustainable deposit with global consumer goods group Unilever, marking the start of the roll out of this offer to corporate clients in EMEA.

BNP Paribas recently developed a Sustainable Deposits Framework. This was independently reviewed by Vigeo Eiris (V.E.), who expressed a reasonable assurance (their highest level of assurance) on the capacity of the bank’s sustainable deposits to support loans that are likely to contribute to the identified UN Sustainable Development Goals (SDGs). The review was dated 17 September 2020.

Sustainable deposits are aimed at enhancing BNP Paribas’ capacity to increase the amount of investment and financing contributing to the energy transition and to sectors considered as directly supporting the UN’s SDGs as part of its environmental, social and governance (ESG) commitments.

“ESG is an integral part of Unilever’s business strategy and as a treasury team we work to support the delivery of our sustainable business goals across the full spectrum of treasury activities, with a strong desire to contribute through ESG innovation," commented Philip Sasse, VP, Global Treasury Operations at Unilever. "We are therefore delighted to have collaborated with a key banking partner such as BNP Paribas on their new sustainable deposit offering in order to pioneer the development of relevant solutions and drive positive ESG impact at scale.”

China supply chain financing solution for BASF

Meanwhile, Deutsche Bank has announced that it has established a supply chain financing solution for BASF China, supporting the company and its suppliers in China with working capital capabilities.

With this solution, BASF and its partners should benefit from more accessible risk mitigation and improved working capital flows, automated processes including reconciliation, settlement, forecasting and monitoring, and lower transaction costs to enable reduced transaction pricing. A number of BASF’s suppliers in China have already been on-boarded, and the solution is already in operation.

“The supply chain finance programme in cooperation with Deutsche Bank drives a “Win-Win-Win” situation, where BASF China can increase the efficiency of its cash flow turnover and strengthen its relationships with suppliers, where suppliers achieve a higher efficiency in their financing costs and operations, and where Deutsche Bank once again demonstrates its broad, innovative capabilities in supply chain finance,” commented BASF Asia Pacific vice president Direct Procurement, Dr. Bernhard Weigl.

“This solution not only provides BASF and its suppliers stronger working capital support, it is also a prime example in action of the strategic importance of the China market to both BASF and Deutsche Bank," added Deutsche Bank Greater China Head of Coverage Peter Qiu.

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This item appears in the following sections:
Bank Relations & KYC
Environment, Social, Governance
Sustainable Cash & Liquidity Management
Trade & FSC Management
Financial Supply Chain Platforms
Cash & Liquidity Mngm in Asia-Pacific
Cash & Liquidity Mngm in Europe
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