At HSBC, we aim to connect the world through trade finance, helping business, people and the planet to thrive. As the world’s No.1 trade bank*, our global trade solutions can help clients to trade with confidence and finance their business.
Global trade is by its nature decentralised and blockchain technology is well-suited to joining up disparate partners across the trade ecosystem. We are focusing on using it for the vital, previously paper-driven process for letters of credit, which are documents guaranteeing that a seller will be paid, and other documents including invoices, packing lists and bills of lading. Blockchain technology offers a fast and secure alternative, which is helping reduce letters of credit processing time from between five and 10 days to a matter of hours.
HSBC is one of the founding members of the Contour platform, which enables the end-to-end digitisation of trade finance, offering greater speed, simplicity and working capital efficiency to clients. We have been instrumental in developing the technology and rulebook governing its use.
*Euromoney 2021 Trade Finance Survey