Success partner for your global takeoff,
The Global Network of Korea Eximbank.

How to enlarge/reduce the letter size

Enlarge the screen : Please press and hold ctrl key and press + key additionally to enlarge it. Shrink the screen : Please press and hold ctrl key and press - key additionally to reduce it.

E-Mail this

Did you find useful information at KEXIM?
Recommend the information you see now to anyone you want to share with.
After entering the following details, you can share contents by clicking "SEND"

@
@
EXIM

Korea Exim News

Korea Eximbank to Provide Liquidity to Apparel Export Companies through Digital Supply Chain Finance

Date 2021.07.19 View 11395

□ The Export-Import Bank of Korea(www.koreaexim.go.kr, Chairman Bang, Moon-kyu, “Korea Eximbank“) plans to support Korean small- and medium-sized companies (SMEs) through "Digital Supply Chain Finance" aiming to shorten the time of the companies to recover export receivables.

 

ㅇ Digital supply chain finance is a financial instrument where the lender purchases the export receivables of its client through a paperless global supply chain management system between suppliers (exporters), buyers (importers), and financial institutions.

 

ㅇ In other words, Korea Eximbank accesses the digital platform used by the trading parties and shipping companies, quickly confirms the relevant transaction without requiring documents from customers, and supports their operating funds.

 

 

□ Korea Eximbank said on July 19 that it will support Korean apparel exporters with the Digital Supply Chain Finance facility amounting up to US$ 30 million. Under the facility, once the Korean suppliers sold the export receivables generated from the supply of clothing to a U.S. clothing giant, The Gap, Korea Eximbank will re-acquire the export receivables from Deutsche Bank (DB), The Gap’s key trade finance bank.

 

ㅇ This is the first time that Korea Eximbank purchases export receivables in this way.

 

ㅇ Korea Eximbank plans to continue purchasing invoices from Korea’s SMEs to supply additional liquidity and reduce discount fees, which are experiencing increasing difficulties due to the continued spread of COVID-19.

 

 

□ An official from Korea Eximbank said, "Digital Supply Chain Finance is a win-win cooperation model for Korean exporters, importers and financial institutions." He added, "We expect that efficiency and transaction transparency will be greatly improved as we can verify each transaction on the supply chain platform in real time."

 

 

□ David Lynne, Deutsche Bank's Asia-Pacific head said, "Collaborating with Korea Eximbank on this groundbreaking solution, a first of its kind for an export credit agency, is a prime example of how we can strengthen the global supply chain.“