IFC trains Armenian banks on trade finance to strengthen local capacity

PanARMENIAN.Net - IFC, a member of the World Bank Group, is helping Armenian bankers improve their knowledge of trade finance products and operations, enabling local banks to provide better solutions for their importing and exporting customers and to tap into international trade networks, IFC Office in Yerevan said.

In partnership with the government of Sweden, IFC has organized a week-long series of training seminars for Armenian banking professionals involved in trade finance operations and workshops on using trade finance instruments for the banks’ corporate and small and medium enterprise clients. About 100 banking professionals and local businesses participated in the training programs from June 7 to 11.

By transferring international best practices in trade finance to the local market, the training promotes tools and solutions for managing risks associated with cross-border trade finance transactions.

“Trade is critical in an economically integrated world and is a vital tool for private sector development,” said Mark Rozanski, IFC Trade Finance Regional Head for Europe. “With this initiative, IFC is investing in trade finance capacity in Armenia by helping develop skills and expertise for the delivery of trade finance services at local banks.”

The initiative is led by IFC’s Global Trade Finance Program. “I am particularly glad that both our existing partner banks as well as Armenian banks that do not currently participate in IFC’s trade finance program, could take part in this week of training,” Rozanski said.

Launched in 2005, the Global Trade Finance Program aims to increase developing countries’ share of worldwide trade, including trade between emerging markets, and facilitates cross-border flows of vital goods and services. Through the program, IFC provides guarantees to international banks to cover payment risks related to trade transactions in emerging markets.

IFC partners with three issuing banks in Armenia under the Global Trade Finance Program -Ameriabank, Armeconombank, and Ardshininvestbank. Since its inception, the program has provided over $7.7 billion worth of guarantees to more than 180 issuing banks in over 80 countries and has held more than 100 training courses, reaching over 2,000 bankers in more than 30 countries.