First bank to be ready to disburse funds in World Bank initiative to boost global trade
Standard Chartered became the first bank to be ready to disburse funds in an innovative US$1.25 billion Global Trade Liquidity Programme (GLTP) partnership with the World Bank’s International Finance Corporation (IFC). The Bank estimates the initial drawdown to range from US$200 to US$250 million, which represents about 20 per cent of the available fund size of US$1.25 billion.
The Bank’s existing global network and infrastructure, a key feature of its value proposition in the GTLP, will enable the quick delivery of liquidity to regions and countries that most require this much-needed stimulus to global trade finance. In particular, the programme will give a critical boost to trade flows to and from Africa, South Asia, Middle East and Latin America, regions where the Bank has a strong presence.
Full acquisition of leading Pan-Africa M&A advisory business
Standard Chartered Bank has fully acquired the remaining shareholding in First Africa Group Holdings Limited (First Africa), a leading pan-African Mergers & Acquisitions (M&A) advisory firm. The Bank acquired an initial 25 per cent stake in First Africa in October 2006. Raising its stake to 100 per cent significantly enhances the Bank’s capability to provide M&A and leveraged finance services to its international clients in African-related transactions.
Headquartered in South Africa, First Africa has been one of the leading M&A advisers in Africa over the past 10 years, with an impressive track record, particularly in the mining, telecommunications and financial services sectors. The specialist M&A team has been involved in some recent high-profile mergers, including advising Anglogold on its merger with Ghana’s Ashanti Goldfields, and South African mobile phone group MTN’s $5.5billion acquisition of Kuwait-based Investcom. This latest deal will strengthen the Bank’s ability to take advantage of the growing trade corridors both intra-Africa and between Africa and Asia.
First Renminbi Trade Settlement Transaction
Standard Chartered Bank (Hong Kong) has completed the first cross-border trade settlement transaction in Renminbi (RMB), following the official signing of the pilot program with Bank of China (Shanghai).
Standard Chartered (Hong Kong) Limited is the first bank to be ready to conduct end-to-end transactions for corporates in Greater China and ASEAN countries such as Singapore, Malaysia, Indonesia and Thailand over Straight2Bank, its award winning internet platform, as well as through host-to-host channels. Standard Charted has the largest branch presence of any international bank in Asia giving it an unrivalled position to be bank of choice for RMB trade settlement.
This is an important milestone in terms of the Renminbi trade settlement business. This arrangement facilitates greater convenience of cross border trade activities which will further accelerate trade growth.