Trade Finance Facilitation Program
Updated: 13 November 2009
The Trade Finance Facilitation Program (TFFP) is the first region-wide program undertaken by the ADB aimed to help banks in developing member countries (DMCs) provide trade finance products to importers and exporters. The TFFP helps Asian countries maintain, re-establish and enhance trade finance lines. The TFFP:
- provides guarantees to confirming banks and revolving credits to issuing banks located in DMCs
- enhances banks' abilities to offer importers and exporters access to financial services
- works in partnership with the private sector to provide capacity, liquidity and stability to the trade finance system
The TFFP has two main products:
- Credit Guarantee (CG) Product
ADB provides guarantees to participating regional and international banks (Confirming Banks) against the payment of trade credits issued by approved Issuing Banks
How the CG works
- Revolving Credit (RCF) Product
ADB provides loans to Issuing Banks for on-lending to private sector exporters and importers, many of which are small and medium-sized enterprises (SMEs), to finance trade-related transactions
How the RCF works
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