The Asian Development Bank (ADB) and Citi have partnered to sign a master risk participation agreement to enhance access to supply-chain financing for small and medium-sized enterprises (SMEs) and support more than US$100 million in additional annual trade across Asia and the Pacific.

The agreement was signed between the ADB’s Trade and Supply Chain Finance Programme (TSCFP) and Citibank North America, the partners say, “enabling more SMEs across developing Asia to access Citi’s supply-chain finance offering through the ADB’s TSCFP”.

Backed by the ADB's AAA credit rating, the TSCFP provides loans and guarantees to more than 200 partner banks to support trade, boosting imports and exports that foster growth. Since 2009, TSCFP has supported US$57 billion in trade in more than 45,000 transactions in emerging markets.

“This partnership harnesses Citi’s expansive network and origination capabilities, alongside the ADB’s extensive presence in the Asia-Pacific region’s developing countries, amplifying the developmental impact of trade and supply-chain finance,” notes Bhargav Dasgupta, ADB’s vice-president for market solutions. “Supply-chain financing plays a crucial role in boosting trade by providing essential capital to suppliers, leveraging relationships with larger corporate partners.”

Julie Monaco, Citi’s global head of public sector, adds: “ADB is a well-established partner for Citi in Asia and the Pacific. We are proud to support SMEs in the region with their trade aspirations through the power of our global network.”