Standard Chartered has announced it will commit US$1 billion of financing for companies that provide goods and services to help the fight against Covid-19, and those planning the switch into making products that are in high demand to fight the global pandemic.
Companies in scope include all those associated with helping to tackle Covid-19, including manufacturers and distributors in the pharmaceutical industry and healthcare providers, as well as non-medical companies that have volunteered to add this capability to their manufacturing output – goods in scope include ventilators, face masks, protective equipment, sanitizers, and other consumables.
Simon Cooper, Chief Executive Officer of Corporate, Commercial and Institutional Banking at Standard Chartered, said clearly there’s a cost for companies to switch into these hugely in-demand items, so it’s an area where the Bank can help them get up and running more quickly.
He said at the same time, the Bank wants to make sure that existing manufacturers and service providers get the support they need.
Mr Cooper said the bank intends to provide, at preferential rates, at least US$1 billion of financing to those companies in the form of loans, import/export finance or the working capital facilities that they use for day-to-day business operations to help them tool up, and help existing manufacturers get their products to market.
He said Standard Chartered is also trying to identify companies that may wish to switch into or add anti-virus products to their output but haven’t indicated that they will do so at this stage.
“Our industry teams are looking across our client base and, given our understanding of clients’ current manufacturing processes, we’re assessing which companies might want to consider adding these items to their production line,” he added.
He said All financing will be subject to companies having received regulatory approvals to manufacture the goods.
Mr Cooper said the bank will continue to serve all of its clients during what is a challenging period for all companies, from small businesses to large multinationals.
This is according to a statement issued to the media by Standard Chartered Bank Zambia Head of Corporate Affairs, Branding and Marketing Christine Matambo.