The collapse of Greensill Capital could not have come at a worse time for the supply chain finance (SCF) ecosystem, with headlines continuing to link the insolvency to searching questions surrounding its longevity.
Many suppliers have appreciated receiving a substantial proportion of their payments within 30 days or less rather than 90, thanks to the strong credit rating of the buyer. In this episode of Trade Finance TV we welcome SCF experts Michael Sugirin, Sean Edwards and Christian Hausherr to explain what happened when Greensill Capital departed from the SCF model. They also offer learning points going forward, particularly when it comes to balance sheet transparency. Importantly, each is optimistic that SCF will emerge shaken but intact from this difficult episode in its history.
Do join us to hear these insights.
- Michael Sugirin, Global Head of Open Account Trade at Standard Chartered Bank based in Singapore
- Sean Edwards, Chair, International Trade and Forfaiting Association, Special Adviser, Trade Finance, SMBC
- Christian Hausherr, Chair, Global Supply Chain Finance Forum, and Product Manager, Supply Chain Finance EMEA Deutsche Bank
Clarissa Dann, Editorial Director, Deutsche Bank
Great overview of the issues.
Clarissa Dan, “Innovation gone off-piste” summed it. Excellent roundtable!
Data crunching, as we knew it, has been elevated to a level through a tech leapfrog that very few grasp, and within this level, the pivot between fiction and reality cannot merely be resolved by transparency. Interesting that Mr Sugirin echoed the 2008 crisis where the monolines were ultimately decimated.
The Greensill affair brought credit insurance into the spotlight. More about the role and use of credit insurance to support SCF can be read here: https://bit.ly/3tGUmVb