JP Morgan and Sinosure Partner on Trade Finance Services for Chinese Firms
JP Morgan has signed an agreement with China’s Export & Credit Insurance Corporation (Sinosure), a move which will enhance the services offered to Chinese companies involved in the export of goods and services, while improving their efficiency and reducing their risk.
Under the ‘Export Credit Insurance LC Policy Agreement’, JP Morgan will provide a range of trade finance solutions to Chinese exporters, enabling them to enter new markets they previously could not consider, and will assist these enterprises by providing financing for their trade finance operations, improving their efficiency and reducing their risk. Sinosure will provide insurance cover to JP Morgan on export letters of credit (LCs) issued by financial institutions globally in favour of Chinese companies for a financing tenor of up to two years.
Zhou Jian, deputy general manager of Sinosure, said: “This initiative with JP Morgan, the first bank headquartered outside Asia to partner with Sinosure, will be instrumental in our efforts to further develop China’s trade finance market. The partnership will help Chinese exporters grow their business by simplifying the entire export credit insurance process. By streamlining the many processes involved in cross border trade, it will leave Chinese companies better placed to focus more intently on the strategic growth of their business into new and emerging markets.”