The Asian Development Bank (ADB) and Deutsche Bank AG today announced an agreement to enter into a supply chain finance (SCF) transaction under ADB’s Supply Chain Finance Program (SCFP). The SCF will provide over $200 million in annual financing to small and medium-sized enterprises (SMEs) across developing Asia.

The program will support SME suppliers to United Arab Emirates-headquartered Landmark Group, a major retailer in the Middle East. Most of the suppliers who benefit from the arrangement are located in Bangladesh, the People’s Republic of China, India, Sri Lanka, and Viet Nam.

While the SCFP provides guarantees in supply chain finance structures, its scope also covers funded supply chain financing as well. ADB and Deutsche Bank’s partnership will enable SME suppliers to gain better access to working capital and should therefore contribute to SME growth, enhancing their ability to create jobs in their home markets.