International Finance Corporation (IFC) has joined hands with private lender, Axis Bank to support Indian exporters for trade financing requirements.
This association will also help Indian exporters to access global market and will hence will to boost the country's international trade.
IFC will support Axis Bank's trade finance business by providing partial or full guarantees covering payment risk of its clients.
"IFC's trade finance facility will support Axis Bank's ability to help small businesses tap growth opportunities," said Mr. Sidharth Rath, President, Treasury and Business Banking ofAxis Bank.
"With wider access to IFC's global network of partner banks, we aim to facilitate trading transactions of our customers at low risk."
IFC's Global Trade Finance Programme was introduced in 2005 mainly to increase the share of developing countries in global trade.
Under this programme, IFC has globally provided $23 billion in credit guarantees for more than 26,000 trade transactions. Axis Bank is an existing client of IFC.
In December 2011, IFC had provided Axis Bank with a $60 million credit facility for financing renewable energy and energy efficiency projects.