Trade finance refers to financing international/domestic trading transactions. In this financing arrangement, the bank or other institution of the importer/supplier provides for paying for goods.
Trade finance works by unifying the conflicting needs of an exporter and importer. For example, Ram is an exporter and Mohan is an importer. Ram would need to be paid upfront for a shipment. However, Mohan is scared that Ram will pocket the payment and refuse the shipment. But there is also a chance that Ram extends credit to the Mohan, and Mohan may refuse to make payment or delay it.
In this case, a common solution is a letter of credit. A letter of credit will be opened in Ram’s name by Mohan through a bank in his home country. This guarantees payment to Ram by the bank issuing the letter of credit.
Knowledge of trade products, regulatory rules & regulations,eye for detail,team work
Certificate in Trade Finance, B.Com, BBA, PG Program in Finance with specialization in trade finance is needed.
With good experience you can reach from team member to business head of trade finance in 8-10 years.
Leading Banking companies, Export Import companies, Software companies