DBS Bank has recently partnered with Haier to provide digital financing to the Chinese consumer electronics group’s downstream distributors within 24 hours, media reports said. With that, DBS becomes the first bank to provide digital financing.
The bank and Haier’s relief efforts in digital financing are aimed to help many businesses to cope with challenging times. Many of those businesses are small and medium-sized businesses in the region. With the new financing facility, Haier’s clients can seamlessly access low-cost financing using a digital medium.
John Laurens, group head of global transaction services at DBS Bank, told the media, “Providing financial sustenance to SMEs that form the commercial ecosystems of large corporates is of utmost importance in this unprecedented global trade situation. The DBS-Haier digital financing solution ensures that supply chains continue to operate in the face of disruptions.”
It is reported that DBS is the first and only non-Chinese bank appointed by Haier for its digital financing facility. China Everbright, Bank of Shanghai and MYBank are the other three participating banks in Haier’s digital financing facility, media reports said
Previously, the bank has worked with a number of significant Chinese clients on digital distributor financing facilities.
Last September, the bank launched its first multi-tier financing facility on Rong-E Lian, a logistics blockchain-based platform. The platform was developed in partnership with a Chinese logistics giant. “The speed of financing gives businesses a fighting chance to tide through the downturn and emerge more resilient to ride the economic upturn when it returns,” Laurens told the media.