Fraud, rules and thin margins putting global banks off commodity financing

Singapore

SINGAPORE'S reputation as a trusted commodity trade financing hub has taken a hit of late, with the industry rocked by the recent spate of high-profile fraud scandals the likes of Hin Leong and Zenrock, said industry watchers.

Revelations of fraud were likely the last straw that led to the pullback of European banks from commodities trade financing here, they added.