Citi: Introduces sustainability-linked supply chain financing in Asia Pacific
- Citi has launched its first Sustainability-linked SSCF program in Asia Pacific with the aim of supporting clients
- Improve the resilience of their supply chains and manage their working capital needs
- SCF programs benefit companies and their suppliers as they prioritize their working capital positions respectively
- The bank would provide financing to a client’s suppliers from the date of collection of specific goods/provision of services
- The cost of this financing is borne by suppliers at a rate lower than their usual cost of funds
- As a result, suppliers benefit from cash flow acceleration, quicker payment and improved financing costs
