Bladex Sets up Factoring Joint Venture

Banco Latinoamericano de Exportaciones (Bladex) has signed an MOU with FIMBank in Malta to establish a joint-venture company to offer full factoring services to companies, banks and other financial institutions in Latin America. “The factoring business offers an attractive growth opportunity for Bladex and FIMBank in Latin America as companies seek to translate discounted receivables into improved cash flow,” says Bladex. The bank’s CEO, Jaime Rivera, says the deal will allow Bladex to offer a greater range of trade finance-related products and further diversify its revenue streams. “Factoring is the fastest growing trade finance product, outperforming all other instruments in international as well as domestic trade, especially with regards to small and medium-sized enterprises (SME’s),” says Margrith Lutschg-Emmenegger, president of FIMBank.