Helping To Weather The Storm With A Trade Bank For All Seasons

Treasury and Trade Solutions 12 guarantee supply chain finance programmes targeted specifically towards green financing. By providing banks with risk mitigation support, such programmes help to increase the amount of sustainability funding support that may be available to clients. Examples • Citi recently launched its first Sustainability-linked Supply Chain Finance programme in Asia Pacific for Henkel, aimed at supporting Henkel as it advances its ESG priorities, improves the resilience of its supply chain and manages working capital needs. The programme was first launched with suppliers in Australia and will be expanded to include suppliers in additional markets. The programme is also a first for Henkel in Asia Pacific and it is targeted at existing and new suppliers who demonstrate strong or improving sustainability performance. Qualifying suppliers can access Citi’s supply chain financing at preferential rates on a tiered basis, with rates improving as a supplier’s sustainability score improves. • Citi partnered with the International Finance Corporation (IFC) and McCormick & Company, a global leader in flavour, to provide suppliers of McCormick’s herbs and spices with financial incentives linked to improvements in measures of social and environmental sustainability. The programme has started with suppliers in Indonesia and Vietnam and will soon be launched in other countries. Citi’s aim to support ESG initiatives is not only with our clients and government agencies. This also includes internal practices. For example, the Trade back-office team recently digitized several internal processes to reduce printing paper.