The strategic partnership with the support of ADB will see technology solutions created which will allow for greater digital efficiency across Asia’s retail supply chain and increase wholesalers’ access to credit.
As a result of COVID-19, supply chains and trade networks across the world have been significantly impacted. It has also meant decreased control over cash flow and access to credit by SMEs. Prior to the pandemic, the ADB anticipated there was a USD 1.5 trillion funding gap in 2018, with smaller businesses most impacted. The International Chamber of Commerce aims for a potential USD 2 trillion to USD 5 trillion shortfall in trade financing through 2021 if demand returns to the global economy.
This means that it is increasingly important for public and private sectors to come together to allow a more efficient shift towards digitalisation for SMEs across global supply chains, trade and access to financing. This has led to Mastercard, in tandem with its wider ambitions of bringing 1 billion individuals and 50 million micro and small businesses into the digital economy, responding by developing its collaborative solution with SGeBIZ, Finastra and N-Frnds.
The programme is expected to begin in Indonesia with 500 retailers and expects to build to 5,000 retailers by the end of Q1 2021.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now