Latest news with #TradeFinance
Zawya
2 days ago
- Business
- Zawya
Al Baraka Bank Egypt seals $100mln deals with ICIEC
Arab Finance: Al Baraka Bank Egypt has signed two agreements worth a combined $100 million with the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), according to an emailed press release. The agreements include The Documentary Credit Insurance Policy (DCIP) and The Bank Master Policy (BMP), both aimed at bolstering the bank's Islamic trade finance capabilities. The DCIP, valued at $50 million, is set to support the export transactions backed by Letters of Credit for Al Baraka Bank's Corporate and SMEs exporters. The policy provides tailored risk-mitigation instruments in de-risking the non-payment risk of overseas banks. This enhances exporters' ability to expand into new markets and increase their cross-border trade volumes. Meanwhile, the BMP will support Islamic trade finance transactions worth $50 million, marking a key step toward the development of Islamic finance and enhancing its role in supporting Corporate and SMEs. The signing ceremony was held between Khaled Khalfallah, CEO of ICIEC, and Ahmed Atteya, Head of Financial Institutions at Al Baraka Bank Egypt, in the presence of a group of senior international officials. Kareem Namek, Chief Financial Markets at Al Baraka Bank Egypt, stated: "These agreements reflect Al Baraka Bank Egypt's unwavering commitment to offering integrated, Sharia-compliant banking solutions that empower our clients to conduct international trade with greater confidence and security.' 'The provision of such advanced insurance coverage is a cornerstone of our strategy to mitigate credit risk, expand our trade finance operations, and contribute to long-term sustainable economic growth," he added. These agreements are expected to enhance the ability of Al Baraka Bank Egypt's corporate and SMEs clients to expand their export activities across global markets, through innovative financial solutions that promote financial stability, attract investment, and support sustainable development. This strategic partnership is aligned with Al Baraka Bank Egypt's vision and build on ICIEC's key role in supporting trade and investment across the 57 member countries of the Islamic Development Bank Group. © 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (
Zawya
3 days ago
- Business
- Zawya
Al Baraka Bank-Egypt unveils $100mln deals with ICIEC
Cairo – Al Baraka Bank-Egypt has signed two key agreements totaling $100 million with the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), a member of the Islamic Development Bank (IsDB) Group. With each valued at $50 million, The Documentary Credit Insurance Policy (DCIP) and The Bank Master Policy (BMP) agreements are both designed to strengthen Al Baraka Bank-Egypt's Islamic trade finance capabilities, according to a press release. The DCIP aims to support the export transactions backed by Letters of Credit for Al Baraka Bank's Corporate & SMEs exporters. The policy provides tailored risk-mitigation instruments in de-risking the non-payment risk of overseas banks, thereby enhancing exporters' ability to expand into new markets and increase their cross-border trade volumes. Meanwhile, the BMP is expected to support Islamic trade finance transactions worth the $50 million deal value. It represents a key step toward the development of Islamic finance and enhancing its role in supporting Corporate & SMEs. Chief Financial Markets at Al Baraka Bank-Egypt, Kareem Namek, stated: "These agreements reflect Al Baraka Bank-Egypt's unwavering commitment to offering integrated, Sharia-compliant banking solutions that empower our clients to conduct international trade with greater confidence and security.' Namek noted: 'The provision of such advanced insurance coverage is a cornerstone of our strategy to mitigate credit risk, expand our trade finance operations, and contribute to long-term sustainable economic growth.' The official concluded: 'We firmly believe that innovation and transparency in our financial services are essential to strengthening our position as a leading Islamic Financial institution supporting both the national economy and the Islamic banking sector." These agreements are set to enhance the ability of Al Baraka Bank-Egypt's corporate and SMEs clients to expand their export activities across global markets, through innovative financial solutions that promote financial stability, attract investment, and support sustainable development. Through Sharia-compliant insurance solutions, ICIEC facilitates development projects in key sectors such as food security, energy, transportation, and infrastructure. It is worth noting that Al Baraka Bank-Egypt generated net profits after tax worth EGP 959 million in the first quarter (Q1) of 2025. All Rights Reserved - Mubasher Info © 2005 - 2022 Provided by SyndiGate Media Inc. (
Forbes
3 days ago
- Business
- Forbes
Trade Finance Is (Finally) Going On-Chain
Trade finance is just the latest sign of institutional adoption In the aftermath of crypto week there is certainly going to be plenty of discussion around the future of cryptoassets in the United States from a policy perspective, but even while that continues to dominate headlines, blockchain adoption continues to accelerate virtually unabated, albeit in an under-the-radar manner. In the immediate run-up to crypto week it was announced that U.S. Bank had completed its first fully digital trade finance transaction, highlighting the shift away from paper-based processes in international trade. As the first American lender to execute such a transaction using WaveBL – a blockchain that enables encrypted document transfers between trading partners and financial institutions – will have ramifications far beyond the specifics of this individual transaction. The Digital Container Shipping Association, representing nine (9) of the world's ten (10) largest container lines, has set a target of issuing 100% of bills of lading in an electronic format by 2030. According to research by the Asian Development Bank estimates that there is potentially $1.5 trillion of trade finance opportunities that have remained untapped, excluding small to medium size businesses. With the speed and transparency provided by blockchain based trade financing agreements, much of this gap can be closed; the DCSA goal toward 100% electronic bills of lading will only accelerate the pace at which this goal is achieved. Outside of the direct benefits to the shipping industry and affiliated entities, lets' take a look at a the benefits this change will create. Regardless of the political turmoil and debate around the cryptoasset sector the fact remains that institutional adoption has continued virtually unabated. Even as the retail market and utilization of crypto, in the form of stablecoins of other iterations, remains stagnant, the influx of institutional investors and attention the space is worthy of attention. Be it the increasing expansion of crypto services by payment processors such as PayPal, Visa, and Mastercard, or the deployment of crypto-native solutions by banking titans such as J.P. Morgan Chase the landscape has shifted in a definitive manner. Crypto transactions, the processing of said transactions, and the benefits of these transactions are increasingly clear to institutions that handle and process trillions of dollars of transactions on an annual basis. Coupled with the regulatory progress being made related to stablecoins, which in and of themselves combine the benefits of on-chain transactions with the stability of the U.S. dollar, and the implications for the dollar-based reserve banking system are clear. Dollars will be going on-chain and will build on existing efforts to tokenize U.S. Treasuries – the largest and most liquid market in the world – to an even greater extent moving forward. Policy debates will occur, but crypto advocates and investors alike should keep an eye on the bigger picture as blockchain and tokenized asset adoption continue to accelerate.
Zawya
4 days ago
- Business
- Zawya
Al Baraka Bank Egypt signs two landmark agreements with ICIEC worth $100mln
Cairo – Al Baraka Bank Egypt has announced the signing of two key agreements with the Islamic Corporation for the Insurance of Investment and Export Credit (ICIEC), with a total value of USD 100 million. The agreements include The Documentary Credit Insurance Policy (DCIP) and The Bank Master Policy (BMP), both designed to strengthen the bank's Islamic trade finance capabilities. The DCIP valued at USD 50 million, is designed to support the export transactions backed by Letters of Credit for Al Baraka Bank's Corporate & SMEs exporters. The policy provides tailored risk-mitigation instruments in de-risking the non-payment risk of overseas banks, thereby enhancing exporters' ability to expand into new markets and increase their cross-border trade volumes. The BMP is expected to support Islamic trade finance transactions worth USD 50 million. It represents a key step toward the development of Islamic finance and enhancing its role in supporting Corporate & SMEs. The signing ceremony was held between Dr. Khaled Khalfallah, CEO of ICIEC, and Mr. Ahmed Atteya, Head of Financial Institutions at Al Baraka Bank Egypt, in the presence of a group of senior international officials. In this context, Mr. Kareem Namek, Chief Financial Markets at Al Baraka Bank Egypt, stated: "These agreements reflect Al Baraka Bank Egypt's unwavering commitment to offering integrated, Sharia-compliant banking solutions that empower our clients to conduct international trade with greater confidence and security. The provision of such advanced insurance coverage is a cornerstone of our strategy to mitigate credit risk, expand our trade finance operations, and contribute to long-term sustainable economic growth. We firmly believe that innovation and transparency in our financial services are essential to strengthening our position as a leading Islamic Financial institution supporting both the national economy and the Islamic banking sector." These agreements are set to enhance the ability of Al Baraka Bank Egypt's corporate and SMEs clients to expand their export activities across global markets, through innovative financial solutions that promote financial stability, attract investment, and support sustainable development. This strategic partnership is aligned with Al Baraka Bank Egypt's vision and complements the pivotal role played by ICIEC in supporting trade and investment across the 57 member countries of the Islamic Development Bank Group. Through Sharia-compliant insurance solutions, ICIEC facilitates development projects in key sectors such as food security, energy, transportation, and infrastructure.
Zawya
10-07-2025
- Business
- Zawya
Afreximbank President Launches New Edition of Structured Trade Finance Book at 32nd Annual Meetings
African Export-Import Bank (Afreximbank) ( launched the second edition of Foundations and Evolution of Structured Trade Finance, a landmark publication on a specialised field of trade finance shaped by decades of real-world application. Authored by Professor Benedict O. Oramah, President and Chairman of the Board of Directors of Afreximbank and a pivotal figure in the development of Structured Trade Finance (STF), the book provides a practical, step-by-step guide to structuring trade finance transactions. It delves into real-world case studies, explores risks and the theoretical foundations of STF, and broadens its scope beyond commodities to address a wide range of trade scenarios. The updated edition introduces dedicated chapters on reserve-based lending, supply chain finance, and the use of emerging technologies in structured trade finance. These additions make the book particularly relevant in today's complex and increasingly risk-sensitive global regulatory environment. Speaking at the book launch and signing event held during the 32nd Afreximbank Annual Meetings in Abuja, Nigeria, Professor Oramah reflected on the significant progress made in trade finance since the early 1990s. 'When I joined Afreximbank in 1994 the world was still grappling with a severe sovereign debt crisis, and structured trade finance was just beginning to emerge as a tool for financing trade in challenging markets. 'As Afreximbank began operations in 1994, we embraced structured trade finance for its ability to mitigate risk. At its core, structured trade finance enables practitioners to be innovative, as its fundamental principle allows for the transfer of risks from parties who are less able to bear them to those who are more capable of absorbing shocks,' said Professor Oramah. The first edition of the book highlighted trade finance structures that largely supported North-South trade—an approach that contributed to trade diversion, with businesses often favouring extra-African over intra-African trade due to more accessible financing. Today, global trade dynamics have shifted dramatically. South-South trade now dominates, with Africa's trade with other developing countries rising from approximately 23% of its total trade in 1995 to an estimated 68% in 2024. Over the same period, Africa's trade with advanced economies has declined to less than 50%. Structured Trade Finance has played a transformative role in reversing Africa's trend of de-industrialisation. By extending beyond commodity-based structures, STF has supported the emergence of African manufacturing hubs, fostered regional and domestic value chains, and enabled the growth of small and medium-sized enterprises. Afreximbank continues to build the continent's economic future on this foundation of innovation and resilience. The second edition of Foundations and Evolution of Structured Trade Finance is now available via Globe Law and Business ( Amazon, and major retailers including Blackwell's, Waterstones, Wildy's, Baker&Taylor, and Gardners. Distributed by APO Group on behalf of Afreximbank. Follow us on: X: Facebook: LinkedIn: Instagram: About Afreximbank: African Export-Import Bank (Afreximbank) is a Pan-African multilateral financial institution mandated to finance and promote intra- and extra-African trade. For over 30 years, the Bank has been deploying innovative structures to deliver financing solutions that support the transformation of the structure of Africa's trade, accelerating industrialisation and intra-regional trade, thereby boosting economic expansion in Africa. A stalwart supporter of the African Continental Free Trade Agreement (AfCFTA), Afreximbank has launched a Pan-African Payment and Settlement System (PAPSS) that was adopted by the African Union (AU) as the payment and settlement platform to underpin the implementation of the AfCFTA. Working with the AfCFTA Secretariat and the AU, the Bank has set up a US$10 billion Adjustment Fund to support countries effectively participating in the AfCFTA. At the end of December 2024, Afreximbank's total assets and contingencies stood at over US$40.1 billion, and its shareholder funds amounted to US$7.2 billion. Afreximbank has investment grade ratings assigned by GCR (international scale) (A), Moody's (Baa1), China Chengxin International Credit Rating Co., Ltd (CCXI) (AAA), Japan Credit Rating Agency (JCR) (A-) and Fitch (BBB-). Afreximbank has evolved into a group entity comprising the Bank, its equity impact fund subsidiary called the Fund for Export Development Africa (FEDA), and its insurance management subsidiary, AfrexInsure (together, "the Group"). The Bank is headquartered in Cairo, Egypt.
