Boosting Trade Finance in Developing Countries: What Link with the WTO?

Auboin, Marc

doi:10.2139/ssrn.1086278

Cited by 28 publications

(27 citation statements)

References 3 publications

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“…Trade finance is a vital element of global trade and more than 90% of international transactions are underpinned by some form of trade finance, mainly short-term (Auboin, 2007). Following the financial crisis in 2008-2009, survey reports show that this credit has become more expensive and the global trade experienced a substantial decline in consequence.…”

Section: Resultsmentioning

confidence: 99%

“…More than 90% of cross border transactions are facilitated by some form of trade finance, including every kind of loan, insurance policy or guarantee, especially short-term (Auboin, 2007). 6 Trade finance is essential to keep international trade running smoothly, as was clearly demonstrated when the global credit crunch magnified the slowdown in exports following the financial crisis in 2008-2009.…”

Section: Introductionmentioning

confidence: 99%

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Evolving Patterns of Payment Methods in Turkish Foreign Trade

Türkcan

2017

EconWorld

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Serving the global marketplace brings many risks to the firms that they may not have on the domestic side. Apart from financing, trade finance mechanisms assist exporters and importers to mitigate or reduce their risks associated with doing business internationally. Finally, the evidence show that both exporters and importers started to use cashin advance method, the safest method of payment, more intensively than other methods shortly after the global recession in 2008. Overall, the patterns presented in this paper highlight the fact that Turkish traders are not able to set payment terms that are highly favorable to themselves and bear all risks associated with international trade transactions.

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Section: Resultsmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Evolving Patterns of Payment Methods in Turkish Foreign Trade

Türkcan

2017

EconWorld

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“…As explained in Auboin (2007 and, new forms of unsecured forms of financing have appeared to maximize the importers and exporters' cash flow while minimizing the cost of trade finance (open account financing, forfeiting, etc). These forms of financing have become dominant in North-North trade, and spread out in global supplychains producing mass, global products.…”

Section: Bmentioning

confidence: 99%

International Regulation and Treatment of Trade Finance: What are the Issues?

Auboin¹

2010

SSRN Journal

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. The paper discusses a number of issues related to the treatment of trade credit internationally, a priori (treatment by banking regulators) and a posteriori (treatment by debtors and creditors in the case of default), which are currently of interest to the trade finance community, in particular the traditional providers of trade credit and guarantees, such as banks, export credit agencies, regional development banks, and multilateral agencies. The paper does not deal with the specific issue of regulation of official insured-export credit, under the OECD Arrangement, which is a specific matter left out of this analysis. Traditionally, trade finance has received preferred treatment on the part of national and international regulators, as well as by international financial agencies in the treatment of trade finance claims, on grounds that trade finance was one of the safest, most collateralized, and selfliquidating forms of trade finance. Preferred treatment of trade finance also reflects the systemic importance of trade, as in sovereign or private defaults a priority is to "treat" expeditiously trade lines of credits to allow for such credit to be restored and trade to flow again. It is not only a matter of urgency for essential imports to be financed, but also a pre-condition for economic recovery, as the resumption of trade is necessary for ailing countries to restore balance of payments equilibrium. Terms of use: Documents in

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“…More than 90% of cross border transactions are underpinned by some form of financing, mainly short-term credit (Auboin, 2007). Following the financial crisis in [2008][2009], survey reports show that this credit has become more expensive and that global trade experienced a substantial decline in consequence.…”

Section: Introductionmentioning

confidence: 99%