The global shift in traditional trade finance methods to a global financial supply chain (FSC) based on open source account terms has seen factoring emerging as a key trade finance source across the world and the trend is catching up in the Middle East, according to experts in the global factoring business.
"Factoring has been traditionally seen as a trade financing method for efficiently managing working capital. But in the context of changing relationships between buyers and suppliers it has become an efficient instrument of global sourcing," said Peter Mulroy, group vice president, Sun Trust Bank.
