EnterpriseSG, IFC to spur financing of Singapore enterprises in emerging markets 

ENTERPRISE Singapore (EnterpriseSG) and the World Bank’s International Finance Corporation (IFC) have inked a memorandum of understanding (MoU) to spur further investment and project, trade, and supply-chain finance for Singapore enterprises in emerging markets.

Activities will include joint outreach and business-matching to connect Singapore enterprises with other governments and private-sector companies.

There will also be initiatives to reduce risks and capital constraints for financial institutions and enterprises, said both parties on Friday (Feb 17).

Under the agreement, IFC will advise financial institutions and enterprises on cross-border financing. This will be in areas including risk-mitigation techniques and structuring of financing facilities, to catalyse cross-border trade and investments, said EnterpriseSG and IFC.

Both parties will also jointly engage financial institutions here – starting with DBS – on risk-mitigation solutions for their trade-finance activities in emerging markets.

EnterpriseSG’s managing director and chief operating officer Jeffrey Siow said that the MoU will provide Singapore’s companies with new sources of funding, as well as financing expertise to capture opportunities in new markets.

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The partnership will further help to narrow the financing gap for firms doing business in developing economies as access to finance for small and medium-sized enterprises “remains a major challenge worldwide”, added Kim-See Lim, IFC regional director for East Asia and the Pacific.

“This will create opportunities for both financial institutions and businesses, while delivering countless development benefits for people in emerging markets and developing economies in the Asia-Pacific region and beyond,” she added.