How investing in trade finance can be profitable and help SMEs thrive
June 23th, 2022 – Trade constitutes the backbone of every economy and 80-90% of global trade requires financing. Small and medium-sized enterprises (SMEs) account for around 90% of companies and more than half of the jobs worldwide according to the World Bank. It’s often those SMEs that are underserved and lack access to affordable trade finance.
The Asian Development Bank found that SMEs are disproportionately affected by the $1.7 trillion trade finance gap – the difference between the number of applications to finance companies’ participation in international operations and the number of approvals. SMEs account for 40% of such rejections, much higher than their share of applications.
More…https://www.weforum.org/agenda/2022/06/investing-trade-finance-profitable-help-smes/
Written by World Economic Forum
Related Post
Equipping SMEs with the skills to...
SMEs and entrepreneurs heavily depend on skills to stay competitive and face greater challenges than larger firms in accessing and retaining...
The future of entrepreneurship with AI
AI-native startups are redefining the nature of entrepreneurship through accelerated scaling. With leaner teams, evolving funding dynamics, ...
Micro and small businesses can act...
In an international context where conflicts have reached their highest level since the Second World War, what role can micro, small, and med...
