Tag: bolero

The first-ever factoring BPO is evidence against the argument BPOs are a tool developed by bankers, for banker’s interests only.

Banks running Bank Payment Obligations, a new Swift-enabled trade finance process, are now all inter-bank capable and automated, while BTMU has leapt ahead with BPO-enabled factoring that led mining giant Vale to substantially reduce days sales outstanding.

RBS and Bank of China announced their first commodity transaction using the Bolero electronic trade finance platform, following deals executed by Japan’s Mizuho Bank in March and China CITIC Bank last November.

UR BPO rules have been unanimously approved by the ICC clearing the way for the first multi-bank, automated deal to occur.

New rules outlining the practice for bank payment obligation (BPO) have been written and will be enforceable in July. Although a handful of BPOs have already been transacted, lack of guidelines prevented many bankers from using the supply chain tool.

David Vermylen, global credit manager of BP Chemicals, on his BPO deals and on what he expects from E-document presentation in 2013.

BHP Billiton has executed the first fully electronic document presentation under a letter of credit into China, but critics remain skeptical over the chances of wider adoption.