IFC and SMBC Unveil $500 Million Facility for Emerging Market Suppliers

The partnership splits funding equally, with both the IFC and SMBC committing $250 million each. A major Latin American food manufacturer serves as the facility’s first anchor buyer, though the program is designed to scale across multiple industries and geographies. For smaller suppliers, the delay between delivery and payment often strains cash flow, complicating basic needs like payroll and material procurement. This facility allows these enterprises to convert outstanding invoices into immediate working capital within days of buyer approval.

Beyond immediate liquidity, the program offers a strategic pathway for businesses historically excluded from formal credit markets. By generating a consistent record of verifiable transactions, participating suppliers build the financial credentials necessary to access broader banking services in the future. According to Nathalie Louat, IFC’s global director for trade and supply chain finance, the model effectively scales capital by connecting the financial stability of established corporations with the urgent needs of smaller vendors. This initiative operates under the IFC’s Global Supply Chain Finance program, which has facilitated over $3.8 billion in transactions since its inception in 2023.