Lloyds Bank has launched a new strategic trade partnership with UBS to expand its global reach, helping its UK-based clients to do business in 170 countries around the world.
Through the agreement, Lloyds Bank clients can now access a 700-strong global network of banks and access to Export Letters of Credit. This further expands Lloyds Bank’s international reach and footprint while reducing clients’ risk of exporting goods to almost anywhere in the world.
Using an export letter of credit can give businesses the confidence to release goods knowing that payment will be guaranteed, so long as the terms and conditions of the letter of credit are fully met. This route also presents funding options such as discounting, enabling businesses to receive payment early.
Recent research from The Institute of Export and International Trade (IOE&IT) suggests that for firms that export, almost half (49%) of their revenue comes directly from export sales. The same study also suggested that the benefits are not just financial; four in five businesses say exporting has fuelled innovation (82%), increased their headcount (79%), inspired them to widen their product range (80%), and driven digital transformation in their business (81%).
Mansour Davarian, Head of Trade & Working Capital Sales at Lloyds Bank, said: “Helping our customers to access new markets has never been more important. Global export volumes have been on a rollercoaster in recent years, with many UK-based businesses struggling to take advantage of lucrative opportunities overseas.
“Our new partnership with UBS gives us the capability and reach to support clients exporting to more countries than ever before. It should also provide more evidence of the power of partner banking to help businesses overcome barriers to trade. We’re excited to continue growing our own network.”
Markus R. Meyer, Head CIC Transaction Banking Products at UBS, added: “Our partnership with Lloyds Bank leverages our worldwide footprint and it is with great pleasure that we see them expand their partner network. Export Letters of Credit are a lynchpin of international trade and improving their provision is an important way for the global banking community to facilitate the economic benefits offered by exporting.”