The electronic trade documents bill is coming soon. What does it mean for digital trade finance and how can you use technology to accelerate digitalization now?
If you missed last week’s webinar:
Prepare for the electronic trade documents bill
where Lloyds Banking Group, Enigio and Finastra discussed the digitalisation of global trade finance and how to use current technology to create freely transferable electronic original documents, here is a replay, link to the full recording and a short summary.
LBG presented the Trade Finance “paper problem” and how Lloyds and ITFA members are using Enigio’s trace:original solution to address this big issue now.
- 4 billion trade-related paper documents are circulating the globe each year
- Less than 2% of trade transactions are digital today
- Normal electronic PDFs are a good start, but cannot be proven they are unique; something in addition is required
- Enigio’s trace:original technology solution substitutes paper with secure, electronic original documents that are freely transferable and interoperable, preserving data integrity
- LBG is an early adopter of this new technology and uses trace:original for creating electronic Promissory Notes in UK land purchase transactions that take hours instead of days and removes the risk of losing paper. Current processes do not need to be changed. There are plenty of additional use cases and it can be used step by step
- The UK Electronic Trade Documents Bill is coming, this will further support the use of electronic original documents in all trade transactions – giving faster and safer access to working capital for SMEs and corporates and lower entry barriers for all. Other jurisdictions are rapidly following suit supported by organisations like ITFA and ICC