BANGKOK, Thailand / RankWire.AI / – According to the World Trade Organization, multilateral development banks are providing approximately US$10 billion in supply chain finance to emerging economies in 2026. This amount represents a two- to threefold rise compared to 2024. The total direct financing for this year is around $65 billion, doubling the pre-pandemic level of roughly $35 billion annually. Both low-income and middle-income nations are gaining from this funding initiative.
The figures were shared during a roundtable discussion held in Bangkok on October 16, which coincided with the 2026 Annual Meetings of the World Trade Organization and the International Monetary Fund. The event was jointly organized by the WTO and the International Finance Corporation. Participants evaluated progress made in expanding supply chain finance across developing countries and outlined priorities for future cooperation.
Supply chain finance enables small and medium-sized enterprises to access affordable funding linked to their sales to larger buyers. This arrangement enhances cash flow and helps smaller suppliers integrate into global trade. The WTO emphasized that such financing alleviates pressure on working capital, yet many companies in low-income and vulnerable economies still face difficulties in securing it. Changing trade patterns and economic conditions have made access more challenging for some businesses.
Support from development banks for a unified strategy
WTO Director-General Ngozi Okonjo-Iweala participated alongside leaders of development banks and international organizations. She highlighted the importance of providing small businesses with access to finance to foster trade benefits and promote growth. She also stressed that increased coordination among multilateral institutions can help bridge financing gaps. Makhtar Diop, Managing Director of the IFC, co-chaired the roundtable and stated that when capital, legal frameworks, digital platforms, and market capacity align, supply chain finance can revolutionize emerging markets.
Diop underscored that development banks should do more than simply supply capital. They can attract private investment by reinforcing regulations and facilitating efficient markets. Additionally, the banks have the potential to allocate funds to smaller firms and markets where access to financing remains limited. Discussions at the roundtable focused on how to encourage greater private-sector involvement in supply chain finance, practical methods to extend market access to underserved areas, and ways to help smaller firms and exporters withstand supply chain disruptions.
Guidelines for the upcoming phase established
The dialogue also covered financing in local currencies for product innovation, as well as partnerships and capacity-building efforts. Enhancing awareness of available financial products was another key topic. A joint statement issued in 2024 committed partners to increasing supply chain trade in emerging markets. Since then, efforts have included expanding financing programs, improving legal and regulatory frameworks, and developing market infrastructure. Institutions have also strengthened their capacities and diversified their financial offerings.
The participants reaffirmed their commitment to collaborate through the WTO’s Supply Chain Finance Task Force, which functions under the Multilateral Development Banks Working Group. Members include the IFC, the Inter-American Development Bank, the African Development Bank, Afreximbank, and the International Islamic Trade Finance Corporation. The Working Group agreed to continue working closely with the WTO Secretariat, the International Chamber of Commerce, and FCI, the global body for factoring and receivables finance. The next phase will focus on reaching underserved businesses, increasing private investment, and building stronger supply chain finance systems.