Donors formally committed funds on July 6 to the 50-billion-U.S.-dollar Global Trade Liquidity Program (GTLP), triggering the first disbursements to importers and exporters in developing countries to help reverse the decline in trade resulting from the economic crisis.
GTLP funds will start to disburse through the first four participating banks providing trade finance through a network of more than 500 banks in over 70 developing countries across all regions, the World Bank said in a statement released in Geneva.
Program partners and banks, which have together mobilized more than 6 billion U.S. dollars, gathered in Geneva on Monday at an event hosted by World Trade Organization (WTO) Director-general Pascal Lamy and World Bank Group President Robert Zoellick, to mark the launch of the GTLP following its announcement at a meeting of the Group of 20 nations in April.
"At the G20 Summit in London, leaders pledged to support trade finance. I am glad to show in the context of the Global Aid for Trade Review that we are on track," Lamy said at the event, which was held as part of the WTO's Second Global Review of Aid for Trade.
"This is vital for developing countries, many of which have seen trade decrease for lack of availability and affordability of trade finance," Lamy said.
