DBS completes first live transaction on SGTraDex to drive digitalisation of bunker trade ecosystem
Singapore, 01 Jun 2022 - DBS announced that it has completed its first live transaction on the Singapore Trade Data Exchange (SGTraDex) – a digital data exchange that facilitates trusted and secure sharing of data between supply chain ecosystem partners. The transaction was done by way of an electronic bunker delivery note (BDN).
The maiden transaction was completed with leading bunker player Kenoil Marine Services (Kenoil), in collaboration with mass flow meter data logger service provider Brightree. By digitalising the bunker delivery note, DBS, Kenoil and its counterparties are able to ascertain the trade data at source to validate the transaction details in a timely manner. This fosters greater trust and transparency across the trade ecosystem.
The objective is to provide bunker players faster access to working capital and enhance their cash flow management, while providing a trusted and secure environment for banks and participants operating in the ecosystem.
Sriram Muthukrishnan, Group Head of Product Management of Global Transaction Services, DBS, said, “Access to secure, trusted and real-time data will support the long-term growth of trade and trade finance. With the digitalisation of the bunker delivery note, financing and payment for the underlying trade can be completed efficiently and on a near immediate basis. Furthermore, the risk of fraudulent manipulation is mitigated as banks and fellow industry partners are now able to ascertain the trade data at source. This helps provide greater transparency and comfort regarding the genuineness of trade. With the successful completion of the first live transaction, we look forward to partnering SGTraDex to support more businesses to digitalise their workflows to enhance supply chain efficiency and transparency, and reinforce Singapore’s position as a global trade hub.”
Desmond Chong, Managing Director, Kenoil Marine Services, said, “We are glad to partner DBS in enhancing transparency in Singapore’s bunker industry through digitalisation. We look forward to being an active participant on SGTraDex on future initiatives to further cement Singapore’s position as a leading bunkering port globally.”
Antoine Cadoux, Chief Executive Officer, SGTraDex, said, “We congratulate DBS and Kenoil on their first live transaction on SGTraDex. Both parties have been instrumental in helping us develop a use case for the bunkering sector and we hope the benefits they have achieved and continue to enjoy will encourage other ecosystem partners to come onboard. SGTraDex offers a range of value to all our participants and small and medium sized enterprises, in particular, will be able to digitalise their operations at a lower cost by leveraging our open, interoperable and secure infrastructure.”
In addition to this first transaction, DBS has also completed a subsequent live transaction with TFG Marine.
In July 2021, DBS successfully completed Singapore’s first live bunker delivery financing pilot transaction by way of an electronic bunker delivery note. This was done in partnership with TFG Marine, Ocean Network Express and Ascenz, with the support of the Maritime and Port Authority of Singapore
[1]
.
DBS’ role in SGTraDex
DBS played a crucial role in the conceptualisation of SGTraDex as the Technology Lead on the Alliance for Action on Supply Chain Digitalisation. DBS was the sole financial institution that laid the cornerstone for the use case aimed at digitalising and optimising bunker delivery.
The bank was also a key player in a second use case focused on enabling the digital-physical twinning of supply chains, leveraging digital data at source to detect trade fraud and reduce the risk of duplicate trade financing. This is where DBS’ leading role in Singapore’s Trade Finance Registry proof-of-concept
[2]
contributed valuable insights in the development journey of SGTraDex, to create a solution that enables trade flows be screened more efficiently and thoroughly to enhance the security of trade financing transactions.
[1]
DBS partners maritime players and MPA to complete Singapore’s first live bunker delivery financing pilot with digital bunker delivery note
[2]
DBS and Standard Chartered lead industry workgroup to develop Trade Finance Registry pilot to enhance trade transparency
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About DBS
DBS is a leading financial services group in Asia with a presence in 18 markets. Headquartered and listed in Singapore, DBS is in the three key Asian axes of growth: Greater China, Southeast Asia and South Asia. The bank's "AA-" and "Aa1" credit ratings are among the highest in the world.
Recognised for its global leadership, DBS has been named “
World’s Best Bank
” by Euromoney, “
Global Bank of the Year
” by The Banker and “
Best Bank in the World
” by Global Finance. The bank is at the forefront of leveraging digital technology to shape the future of banking, having been named “
World’s Best Digital Bank
” by Euromoney and the world’s “
Most Innovative in Digital Banking
” by The Banker. In addition, DBS has been accorded the “
Safest Bank in Asia
” award by Global Finance for 13 consecutive years from 2009 to 2021.
DBS provides a full range of services in consumer, SME and corporate banking. As a bank born and bred in Asia, DBS understands the intricacies of doing business in the region’s most dynamic markets. DBS is committed to building lasting relationships with customers, and positively impacting communities through supporting social enterprises, as it banks the Asian way. It has also established a SGD 50 million foundation to strengthen its corporate social responsibility efforts in Singapore and across Asia.
With its extensive network of operations in Asia and emphasis on engaging and empowering its staff, DBS presents exciting career opportunities. For more information, please visit
www.dbs.com
.
DBS Bank Ltd | 12 Marina Boulevard, DBS Asia Central @ Marina Bay Financial Centre Tower 3,
Singapore 018982 | Co. Reg. No. 196800306E
Tel: 65.6878 8888 | www.dbs.com
