Citi and the International Finance Corporation of the World Bank Group (IFC) announced a new $2 billion financing program in emerging markets in sustainable supply chains. The first project under this program is a $500 million building in Mexico. This program is part of IFC’s Global Supply Chain Finance (GSCF) program, the largest program to date. Launched in 2022, the GSCF aims to fill financial gaps in economic development by providing financing for emerging market providers working with domestic and international customers.
It provides financing opportunities and advisory services to improve access to finance for SME suppliers, especially disadvantaged suppliers. The project also works with financial institutions to promote green finance.
Citi has a target of $1 trillion for 2021, with $500 billion earmarked for the environment budget by 2030 and another $500 billion for other Sustainable Development Goals (SDGs). By the end of 2023, Citi will have reached $441 billion toward this goal. This new initiative follows a $300 million pilot launched last year by IFC and Citi for supply chain financing in emerging markets.