OREANDA-NEWS. The volume of Ukrsotsbank clients` trade finance (post-import financing, in particular) grows rapidly. “We note the growth of clients` interests to trade finance, and to post-import financing, in particular. Only for the last month three branches (Cherkasky, Khersonsky, Donetsky) have addressed to our department with the request to elaborate three schemes of post-import financing for clients of their business territories,” Andriy Fedosieiev says. - In general, according to our statistics, the increase of addresses as to issue and maintenance of trade finance tools can be observed not only in the three above mentioned branches but also in Kyiv, Zaporizhzhia, Ivano-Frankivsk, Lviv. This points to the fact that trade finance are in demand among clients“, reported the press-centre of Ukrsotsbank.

According to the banker, the rate of the Bank` loans substitution with the trade finance will only grow, approaching to the 100% indicator while concluding deals, related to import or export of goods and services.

“Most companies began to use trade finance because of a lack of floating assets,” commented Andriy Fedosieiev. It is inefficient to substitute liquidity deficit with expensive resources in the form of short-term loans as the trade margin decreases steadily because of the high competition”. As to investments in production at the expense of short-term loans, according to the financier, they lead to a “washout” of floating assets that could cause a crisis in the company with successful business, and even make it a victim of a hostile acquisition. “Trade financing is more secure, Andriy Fedosieiev adds. - Supply of goods and performing of calculations is being carried out under the dual control: on the one hand, the Ukrainian bank, on the other hand, first-class foreign bank, on which there are the risks of delivery and payment”.

The range of services offered by Ukrsotsbank within the frameworks of trade financing is quite wide. It includes provision of outgoing and advising of incoming and securities, including standby letters of credit, the opening and advising import/export letters of credit, pre-export financing, short- and long-term financing of imports (post-import financing), forfeiting operations, discounting of documents on export letter of credit, collecting operations.