Technology infrastructure and services provider for financial institutions, SIA, says it has launched a new platform that allows banks to fully digitise trade finance processes, making it easier and faster for corporates and small- and medium-sized enterprises operating in markets around the world to manage their letter of credit (L/C) portfolios.

The Digital Trade Finance (DTF) solution is for banks seeking to manage digitally all the events directly and indirectly connected to typical trade finance operations, in particular processing of L/Cs, documentary collections, international guarantees, export advances and import financing.

Benefits and developmentBenefits claimed by SIA include ease of integration with banks' information systems, reduced execution times, greater operating efficiency and the ability to process L/Cs in several locations in an environment shared by all parties in a transaction.

The Milan-based company says the platform may employ artificial intelligence applications in the future to support L/C processing tasks such as document reconciliation and compliance checks.

Bank collaborationBanca Popolare di Sondrio actively participated in the development of DTF, providing expertise concerning internal banking structures.

The Italian bank's involvement focused particularly on L/C management, from the pre-contractual to the settlement phase, and helped make it possible to complete an entirely digital transaction.

DTF integrates with SIA's EasyWay digital payments infrastructure that supports financial institutions and other payment service providers in the management of payment and collection instruments, instant payments and cross-border payments.

This article represents the views of the author and not necessarily those of the ICC or Coastline Solutions.