Standard Chartered to focus on SME and trade corridors at CBF

Thursday, 7 November 2013 00:37 - - {{hitsCtrl.values.hits}}

Takes on CBF ‘Principal Sponsor’ title for US$ 150,000
Three global experts from bank to address CBF
15-member delegation to participate at CBF from SCB worldwide
Sees CBF as ideal opportunity to promote brand ‘Sri Lanka’
To host high-level network breakfast meeting on 13 November

By Cheranka Mendis Principal Sponsor of the Commonwealth Business Forum 2013, Standard Chartered Bank has picked the sessions on SME sector development and promoting trade corridors for reciprocal growth to share its findings and opinions during the three-day forum to be held at Cinnamon Grand next week. As one of the oldest companies in Sri Lanka and the second largest foreign bank in the country, SCB has agreed to be the Principal Sponsor for the forum at the cost of US$ 150,000. Keeping aside the business objective, the decision to sponsor the event was taken in an attempt to promote the country as a whole. The country’s biggest-ever business forum is the ideal opportunity for the brand ‘Sri Lanka’ to showcase itself in all its glory, calling out to the world to witness the progress made since the end of war. Setting perceptions right “This is an important event for brand Sri Lanka and to set perceptions right,” Standard Chartered Bank Sri Lanka CEO Anirvan Ghosh Dastidar told the media yesterday. “Irrespective of the outcome, Sri Lanka at this point of time needs an event like this to showcase itself to the external world. My interactions overseas show that their perception of the country is very different to the actual facts. Sri Lanka has come a long way (post war) in terms of the business environment, rapid changes, and business growth. This was our main objective.” On the other hand, it makes sense for the bank to be part of the global network of businessmen in view of its global footprint; in particular its presence in Asia and Africa as there is a large delegation from both regions attending the forum. The bank will also host a high level breakfast networking session together with Confederation of Indian Industries (CII) on 13 November at Cinnamon Grand which will focus on trade corridors. The bank has reached out to business delegates as well as some heads of states for the said event. Reshaping partnership for sustainable growth Dastidar noted that the world’s key trade corridors include China-Middle East, China-Africa, China-South Asia and South Asia-Africa – in all of which the bank has a strong presence. “Within the Commonwealth, the shift in economic power is obvious – it is more East than West. We are present in all these countries and therefore it makes logical sense to facilitate business between these corridors,” he said, adding, “Look at the business growth in Africa; it is tipped to be the economy that will take off in the next 10 years. As these corridors keep changing we play an important role.” The bank recently reopened in Burma and set up three branches in Iraq. “We are doing this because our global clients are investing here (big oil and gas companies). That is how we do corridor business.” The bank is present in 15 countries in Africa and holds a strong position in facilitating trade corridors between Africa and Asia. The topic will be handled by Dastidar on 14 November at CBF under the theme of ‘Africa and Asia: Reshaping partnership for sustainable growth.’ The SME sector The SME sector topic will be handled by SCB Capital Markets Ltd. Vice Chairman Sir Thomas Harris and SCB Regional Chief Executive South Asia Sunil Kaushal under the subjects of ‘Banking and financial services: Enhancing access and economic resilience’ and ‘Developing small and medium business for greater wealth creation’ respectively. Sir Thomas will fly down from London to partake in the forum and will speak on 13 November, while Kaushal will speak on 12 November. Dastidar noted that the bank has a strong vertical in terms of SMEs within its structure, even though locally the reach is limited and is Colombo-centric. “The way we define SMEs is ideally what you call a ‘middle market’.” The real SME would be mean going down to the grassroots, he said. “However, with only 10 branches SCB does not have the means to dig that deep. We are very big on the corporate banking space and what is not covered by the corporate banking sector, the downstream, is covered by us. We do not have the infrastructure to expand it.” The importance of promoting SMEs however has not gone unnoticed for the bank, he assured commending the CBSL for the very strong push in that direction to empower the SMEs. Corporate banking Growing in double digit terms, SCB Sri Lanka is now investing a lot in terms of its corporate banking sector. “The difference between us and local banks is that we are not only looking at Sri Lanka but at business coming in, and going out of Sri Lanka. Right now it is more about attracting businesses into Sri Lanka. A global client who wants to set up here will be facilitated by us on business transaction.” The industry can expect active participation from the bank on a more global level within the next two-three years, enhancing the trade corridor businesses between India-Sri Lanka, China-Sri Lanka, Vietnam-Sri Lanka and Bangladesh-Sri Lanka. “That is where our strength is.”