Changing fashions

How quickly fashions can change. This time last year, export finance was in the doldrums – some banks (especially in the UK) were even eschewing the business because it drummed up so little trade – while biofuels were a no-brainer investment.

Today, the tables have completely turned. The conservative nature of export finance is suddenly very appealing, once again, to companies bidding to export major goods and services to important developing markets, while the rush to biofuels is not looking so clever as the price of soft commodities goes through the roof.

The lesson, if there is one, is that while there will always be periods of ‘irrational exuberance’ old-fashioned common sense will ultimately win out in the end – the challenge, of course, is to correctly forecast when that will happen.

Talking of winning, voting is now open in the 2008 TFR Awards. There are 24 categories altogether, including Best Structured Trade Finance Bank and Best Forfaiting Institution, and the winners will be decided entirely on your votes. Go to www.tfreview.com/awards08 to get voting.

Voting closes on 30 May and the winners will be revealed in our July/August issue.

Graeme Burton
Managing editor

Features

Export finance: Shifting gear This article is for subscribers only
After years of being pinched by an excess of liquidity, export credit agency-backed finance is back in fashion. By Graeme Burton.

Legal spotlight: Hidden strength This article is for subscribers only
Morris Blumenthal, Belle Chan-Moffat and Justin Fowke highlight the valuable role played by in-house legal counsel.

Biofuels: Growing pains This article is for subscribers only
Has the biofuels boom already busted? Ivan Castano Freeman investigates.

Market view: Coming of age This article is for subscribers only
Dr David Rutledge, chief executive officer of the Dubai Multi Commodities Centre, makes the case for electronic warehouse receipts.

Regulars

Profile: Kamel Alzarka This article is for subscribers only
Kamel Alzarka started Falcon Trade Corporation when he was just 23. Today, it has a turnover of $780m and Alzarka has plans to turn it into a $5bn trade services giant.

Letter from Hong Kong This article is for subscribers only
It’s Easter time. No chocolate eggs in our house. I used the excuse that both my daughters had coughs, but actually we banned eggs a couple of years ago because I kept eating them all after everybody had gone to bed.

IFA world: The first ten years... Free
Paolo Provera, IFA board member responsible for the regions and membership, examines the IFA’s first ten years of achievements.