HPD LendScape, a leading international secured lending platform vendor, today announces it has partnered with Emirates Development Bank (EDB) to launch UAE’s National Supply Chain Finance (SCF) platform, giving UAE businesses improved access to working capital, particularly as they cope with the added pressures of the COVID-19 pandemic.
SCF solutions enable suppliers to gain quicker access to money they are owed, while buyers get more time to pay off their balances and the new platform will offer a simple, fast and transparent way for bank lenders to onboard both buyers and suppliers.
The initial phase of the project offering a payables finance solution has now gone live. The next phase is set to provide a comprehensive suite of buyer and supplier centric SFC variations, including Islamic Finance products. Going live in a record time frame of 4 months, fully implemented remotely and hosted locally by EDB, the National Supply Chain Finance platform has extensive configurability to adapt to different regulatory environments and local market requirements, giving onboarded banks the ability to launch their own payables products variations and manage their custom buyer programmes.
HPD will also help EDB set up a new Centre of Excellence that will provide expert support to local funders. Bringing together buyers, suppliers and banks onto one platform, the National Supply Chain Finance solution helps simplify and automate operations, mitigate risk more effectively and make SME finance easily accessible - much needed in the UAE today.
Through a modern online portal accessible from any device, suppliers can interact with both buyers and funders in real time, can request finance with a click and all counterparties enjoy personalised screens and increased visibility of accounts receivables in the supply chain. New onboarding capabilities enable a fast, paperless and efficient KYC process including approval hierarchies and anti-money laundering checks, with bespoke workflows tailored to each buyer programme and to each group of suppliers or to even individual suppliers, much of which lenders historically completed via lengthy and slower manual processes.
SMEs in the UAE are finding accessing funds and maximising liquidity, particularly in the current environment to be a challenge, prompting national measures aimed at supporting them. The project is supported by the UAE Government and was developed through the close collaboration between HPD LendScape, Emirates Development Bank, and the International Finance Corporation (IFC), a member of the World Bank Group. HPD LendScape is offering a complete solution to EDB, providing ongoing expert advisory support as a close partner to the bank as well as implementing the digital platform.
The National Supply Chain Finance platform will be implemented by HPD LendScape’s dedicated product team, which oversees factoring, asset-based finance and SCF services for clients including: TradeWind in the UAE, along with FNB Finance Lebanon, Investbank of Jordan, QNB Alahli (Egypt), Attijariwafa Bank (Morocco), Société Générale Morocco, CIH Bank (Morocco), and Banque Populaire Morocco in the wider region.
Claudia Perri (pictured), Regional Commercial Director Southern EMEA for HPD LendScape, commented: “We are delighted to announce this new partnership with Emirates Development Bank and launch the National Supply Chain Finance platform. This represents an exciting new product for the UAE, and we are working to increase the awareness of SCF among SMEs and corporates in the country as the government focuses on financial services digitalisation. Through this platform, UAE banks and other lenders have the opportunity to help businesses optimise supply chains, improve working capital and streamline their operations - this has never been more critical than during the current pandemic where supply chains are under intense pressure.”
Faisal Aqil Al Bastaki, Chief Executive Officer of EDB, said: “With SMEs facing an unprecedented challenge, accessing efficient finance is vital. In our role as the UAE’s development bank, EDB is filling the gap and has launched a first class National Supply Chain Finance Platform, powered by one of the best names in the business, HPD LendScape. Such a sophisticated and digitally enhanced SCF platform is a crucial resource to any well-functioning economy; lenders and buyers should take advantage of it to ensure that SMEs continue to play their part in the UAE’s economic growth, long after Covid-19 has passed.”
Kevin Day, CEO of HPD LendScape, said: “We’re thrilled to work together with EDB on this landmark partnership. Going live in record time and fully implemented remotely, the project demonstrates the value of a truly collaborative approach, with ourselves, EDB and the IFC all working successfully together to ensure project success. Most importantly, the platform will provide improved access to finance for UAE businesses.”