Particularly benefiting micro, small and medium businesses (MSMEs) based in emerging markets as investors previously did not have sufficient accounting or trade information to make reliable decisions. This has been pioneered by firms such as Tradeteq which uses AI to create credit scoring models analysing the transactions and history of a company. However, more importantly, firms such as Tradeteq identify early warning signs of when smaller firms are in distress of not meeting credit or trade requirements. This has allowed increased trust between multi-national banks and much smaller firms in emerging markets especially those further down the supply chain where traditionally trade finance banks could not provide financial coverage.
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