The Bank has been providing factoring services, via ABC Factors, for the last 15 years.
In 2009, the Greek factoring market witnessed the same volume of trade as in 2008, with a total turnover of approximately Euro 10.6 billion. The demand from Greek businesses stemmed from the need to restructure their supply chain in difficult market conditions due to the economic crisis, coupled with increased credit and liquidity risks. In this environment and with such diverse requirements from the accounting sector following the implementation of the International Financial Reporting Standards, factoring is the financial instrument which provides comprehensive solutions to such complex problems.
Given the conditions prevalent in 2009, ABC Factors results are considered satisfactory. An increase in discounted payments by 6.9% was achieved whilst the prudent management of credit risk and the strict application of best practices as regards risk management, enabled the company to maintain its depreciated receivables at 0.62% of the total discounted payments as at December 31st, 2009.
ABC Factors, a member of Factors Chain International (FCI) since 1995, succeeded in increasing its factoring activities by 35% in 2009. It is the first Greek factoring company to operate directly in Cyprus, and offers export factoring services to businesses in Bulgaria and Romania with the aim of operating fully in these countries from 2011.
As part of its full expansion into Commercial Finance services, in 2006 the Company became a member of the International Forfaiting Association (╔.F.A.) for the provision of international forfaiting services.