The international banking firm Standard Chartered has entered into an agreement with the financial branch of the production giant Siemens in the framework of a pilot blockhain project to issue bank guarantees in the sphere of international settlements for trading transactions.
According to IBS Intelligence, this program is aimed at eliminating the process of paperwork with the help of automated smart contracts and transferr it in digital format.
This is an industry-defining solution which we believe will transform the way guarantees are issued and processed in the UAE. Siemens Financial Services has been a key partner for us to build and develop this pilot on the distributed ledger and we believe that this technology can further be harnessed by the Dubai Smart City initiative.
Head, Transaction Banking UAE, Standard Chartered
According to the article, if the pilot project succeeds, it will allow companies like Siemens to serve their large customers more efficiently.
While digitalisation is revolutionising whole industries, incorporating digital trade finance solution into our daily operations is an important step. Especially at Siemens, as a digitalisation pioneer, this move is part of our strategic mission of going digital in all arenas. This will streamline our processes and make our trade finance operations smoother, faster and more efficient. We are delighted to partner with Standard Chartered in leading such game-changing transformation which will help our customers go digital in their guarantee and claim processes and achieve higher efficiency.
Chief Financial Officer, Siemens
The test project was launched in March and should be completed in 2018.