Last week, May 8, Vesl held its very first webinar with an economist, a trade lender, and a credit insurance specialist all in one panel.
Mr Asuncion, the chief economist of Unionbank, talks about the economic impact of COVID 19. and how the economic recovery will be a function of: 1)Vaccine / effective treatment / anti-viral drug versus Covid-19; 2)Public health response measures; and 3)Public sector economic support measures. He also forecasts that until the vaccine, we will have sluggish growth.
Meanwhile, Cliff Entrekin, managing director of Convergence Capital Group, shares his views on banks’ and alternative lenders’ state of financing in this pandemic. He also shares how businesses in emerging Asia can cope even without the help of government by using trade finance tools such as trade credit insurance.
Lastly, Raffy Rios, Founder of Synergy Capital Solutions, a veteran in the credit insurance world, talks about how post COVID insurance capacity may look like, with insurers’ “flight to quality”. He noted that we may see more insolvencies later in 2020 and in 2021 as suppliers will only receive notices of nonpayment from buyers later. Due to this, there is greater demand in trade credit insurance post COVID.
A lively Q&A followed the panel discussion.
What industries are generally avoided by trade financiers and bankers now?
Which ones are still welcomed?
What advice can you give businesses to come out financially strong after this crisis?