Independent Evaluation Group2013-09-132013-09-132013-08-27978-0-8213-9980-410.1596/978-0-8213-9980-4https://hdl.handle.net/10986/15769The International Finance Corporation (IFC) introduced the Global Trade Finance Program (GTFP) in 2005 is to 'support the extension of trade finance to underserved clients globally.' The program has since expanded rapidly, and its authorized exposure ceiling was increased in three stages from $500 million in 2005 to $5 billion in 2012. In FY12, the GTFP accounted for 39 percent of total IFC commitments, 53 percent of its commitments in Sub Saharan Africa, and 48 percent of its commitments in Latin America and the Caribbean. The Independent Evaluation Group (IEG) recommends that IFC (i) continue to strengthen the GTFP's focus in areas where additionally is high and increase the share of the program in high-risk markets and where the supply of trade finance and alternate risk-mitigation instruments are less available; (ii) adopt additional methods of reporting volume that can reflect the distinct nature of trade finance guarantees; (iii) refine the means by which GTFP profitability is monitored and reported; (iv) review the costs and benefits of the current monitoring and evaluation framework; (v) ensure that a transparent process is in place to govern cases of covenant breach; and (vi) enhance the program's ability to meet the demand for coverage of longer-term trade finance tenors.en-USCC BY 3.0 IGOaccess to financeaccess to informationActual Financial PerformanceAdvisory Servicesagricultural productsapproval processBank CreditBank Financingbank relationshipsBank Riskbanking crisisbanking regulationbanking sectorbanking supervisionbanking systembanking systemsBanksbeneficiariesbeneficiaryborrowingcapital allocationcapital gainscapital requirementscash depositscash flowCCChamber of Commerceclient basecollateralcollateral requirementsCommercial Bankcommercial bankscommoditiescountry riskcountry riskscredit agencycredit growthcredit limitcredit linescredit qualitycredit ratingCredit RiskCredit Transactioncreditworthinessdebtdebt crisisdebtsdefault ratedefaultsdepositsDeveloping Countriesdeveloping countrydevelopment bankdevelopment financedevelopment finance institutionsdirect loansdue diligenceeconomic criseseconomic crisisemerging marketemerging market countriesemerging market portfolioemerging market tradeemerging marketsentry pointequipmentequity investmentsexport creditexporterexposurefarmersFinance CorporationFinance Initiativesfinance productfinance productsfinancial challengesfinancial crisisfinancial instabilityfinancial institutionsfinancial intermediariesFinancial Intermediationfinancial marketsFinancial Performancefinancial sectorfinancial sector developmentfinancial systemsfinancing of tradeforeign bankGlobal RisksGlobal TradeIncomeincome groupincome levelincome statementsindividual marketsinformation sharinginformation systeminformation technologyinstrumentinsuranceintangibleinternational bankinternational banksInternational DevelopmentInternational FinanceInternational Tradeinvestment activitiesinvestment volumelegal agreementless developed marketsLetter of Creditletters of creditlines of creditLiquidityliquidity constraintsloanloan recoveryloan sizelocal banklocal bankslong-term financelong-term investmentLong-Term Investmentslong-term loansloss statementlow-income countriesLow-income countrymacroeconomic instabilitymacroeconomic risksmarket conditionsmarket demandmarket levelsmarket playersmarket trademarket volatilitymaturitiesMDBmicroenterprisesmiddle-income countriesMiddle-income countryMonetary FundMultilateral DevelopmentMultilateral Development Banksnet profitnew marketopportunity costsparticular countriespartner bankspayment obligationperformance measurespolitical riskpolitical uncertaintypoor creditPortfolioPortfolio Managementportfolio performancepricing practicesprivate capitalprivate creditprivate sector developmentprofitabilityprudential regulationsrapid growthregional banksregulatory constraintsreputationreturnreturnsrisk aversionRisk Mitigationrisk perceptionsrisk profilerisk sharingrisk takingrisk weightsavingsshort-term trade financesovereign debtstatistical analysissubordinated debtSupply ChainTelecommunicationstrade creditTrade Financetradingtransaction pricetransparencyWarehousewarrantsweak banking systemsworking capitalworld economyWorld Bank10.1596/978-0-8213-9980-4