On June 21, the International Finance Corporation (IFC) announced that it had worked with Japan's Sumitomo Mit...
On June 21, the International Finance Corporation (IFC) announced that it had worked with Japan's Sumitomo Mitsui Banking Corporation (SMBC) to provide a $40 million commodity-backed loan to Thanh Thanh Cong – Bien Hoa Joint Stock Company (TTC AgriS), Vietnam's leading agribusiness company.
IFC Boosts Investment in Vietnam's Retail and Agriculture Sector
This is the first secured loan on in-stock commodities offered by IFC and SMBC. The loan was provided under IFC's Global Warehouse Finance Program (GWFP). This financing is expected to boost the warehouse financing market in Vietnam, which is still in its infancy. At the same time, local banks are encouraged to participate in the agribusiness value chain in order to optimize financing opportunities in this high-tech sector potential
GWFP is implemented to improve the working capital of producers or traders of agricultural products by using goods in warehouses as collateral. Launched in 2010, GWFP has provided more than $10 billion in funding globally to date.
Ms. Dang Huynh Uc My, Vice President of TTC AgirS, said that this financing solution will be a premise for TTC AgriS to receive loans through the use of raw materials as collateral. This will help the company to be more proactive and flexible in the purchasing, storage and distribution of raw materials and goods, towards an optimal system that achieves the highest efficiency.
Via Bao Thanh Nien