Agreement with OCB on guarantees to facilitate trade.
The Asian Development Bank (ADB) and the Orient Commercial Joint Stock Bank (OCB) have signed an agreement under which ADB’s Trade Finance Program (TFP) will provide guarantees of up to $20 million a year to support trade in Vietnam.
“ADB and OCB will support exporting and importing companies, including small and medium-sized enterprises,” said Mr. Steven Beck, Head of Trade Finance at ADB. “This agreement will help create economic growth and jobs.”
In the past few years Vietnam has consistently been one of the Top 5 most active among the 20 developing markets where the TFP operates. To date the program has conducted 4,479 transactions, supporting over $6.9 billion in trade in Vietnam. Of these, roughly 75 per cent were for trade financing for small and medium-sized enterprises.
“Vietnam is one of the Trade Finance Program’s most active and important markets and signing this agreement adds to the program’s significant record of support for trade in the country,” said Mr. Santosh Pokharel, TFP’s Relationship Manager for Vietnam. “We are pleased to be working with Orient Commercial JS Bank.”
OCB’s participation means the TFP now has 12 bank partnerships in Vietnam.
Since 2009 the TFP has supported more than 8,000 small and medium-sized enterprises across the region, with about 11,500 transactions valued at over $23.2 billion, in sectors ranging from commodities and capital goods to medical supplies and consumer goods.