Part of the Transport & Logistics Division of the A.P. Moller group, Maersk Trade Finance is introducing a new service in the UAE, that offers a more efficient means of financing containerised cargo shipments.
“We have created a simple, end-to-end digital solution, removing the paper trail from traditional banking options, providing easy access to capital to customers when they need it the most,” explains Vipul Sardana, Head of Maersk Trade Finance. According to the company the new service offers local exporters and importers that ship with Maersk with an efficient and effective solution to manage flow of goods, as well as flow of money, through a simple process of digital integration. It further provides customers with the benefit of working with a transportation partner that also funds their global trade.
Since its inception back in 2015, Maersk Trade Finance has supported around 150 customers and has disbursed loans over $160 million. According to Mr. Sardana: “The UAE will become one of our key markets. Since the launch in this market back in July 2017 a range of customers from diverse sectors have required our service which has resulted in more than $30 million in business contracts.”
Customers are said to benefit from easier access to capital to finance business needs when they need, following a ‘quick and easy’ credit assessment. The digital approach enables paperless transactions and a fast release of funds enabling liquidity. Customers can also avoid the so-called collateral trap for export financing.
“Due to its strategic geographical location, business friendly environment and good logistics infrastructure, the UAE is a crucial trade hub for the entire Middle East, Africa and South Asia, so launching Maersk Trade Finance here is a natural step for us,” explains Christian Juul-Nyholm, Managing Director, Maersk Line – UAE, Oman, Qatar and Iran. “Already we have received great interest from customers across diverse sectors, who are in need of a reliable partner. So we are excited about the achievements that we have made in a short span of time and are confident about future potential in the country.”