Practical Trade Finance Solution and Risks

Statement of need

The recognition of trade finance as one of the seven clusters of the African Union’s BIAT program highlights the universality of Africa’s embrace of trade finance and the need for interventions to facilitate the creation of opportunities for African businesses, the financial sector in general and regulators. Notwithstanding this, capacity deficits in the area of trade finance among financial institutions, regulators, importers and exporters remain one of the limitations to harnessing benefits presented by the elimination of trade barriers. Therefore, practical challenges arising from an inability to provide and secure fitting trade finance solutions to enhance the movement of, and payment for goods from one country to another remain one of the greatest hurdles. In addition, importers and exporters as well as financial institutions are simultaneously subject to numerous risks related to differing legislation, customs, security, and practices in these countries.

Consequently, this executive course will expose participants to financing solutions that are more robust and can mitigate most of the risks associated with complex trade transactions. This highly interactive course will be offered over a duration of two weeks to equip participants with key skills in trade finance solutions. It will provide a strong background for those wishing to pursue further studies under ESAMI- trapca Master of International Trade Finance Degree Programme. 

Courses objectives

• Demonstrate the importance of trade finance in intra-African trade and trade with third parties beyond Africa
• Identify the defining features of various trade finance instruments and their rationale
• Explain when and how to use trade finance and its various products effectively.
• Describe the methods of payment, their use, risks and benefits to the buyer, seller and financier.
• Gather information key for decision-making in trade finance transactions.
• Discern why trade finance is an alternative to balance sheet lending assessment.
• Explain the role of banks and related financial institutions in both facilitating payments and providing funding for international trade. 

Content

• Trade Finance Overview & Financing of International Trade.

• International Trade, associated challenges, risks and costs
• Trade Finance overview.
• Comparison of financing trade through trade finance solutions and traditional banking solutions.
• Key international trade documents and contracts.

• Selected Key Trade Finance Solutions and the associated risks.

• Overview of Documentary Collections, and Documentary Credits,
• Bank Guarantees, Discounting, Factoring, and Forfaiting,
• Commodity Financing and Structured Trade Financing.
• Trade-Based Financial Crimes and Money Laundering.

Target

This includes, Private Sector and Public Sector Practitioners involved in the buying and selling of goods; Professionals working in Trade, Export, and Commodity Finance; Import & Export Officers & Managers, Trade Finance Services Officers and Managers; Captains of Business Organisations; Trade Finance and Marketing Professionals; and General Practitioners working in Financial Institutions.

Duration
2 Weeks

Venues
a) Venue 1: Online
Date: 20 -31 May 2024
b) Venue 2: Dubai
Date: 20 – 31 May 2024

c) Venue 3: Arusha
Date: 13 – 24 May 2024

Course Fees
$1,600