Mizuho and IFC Launch $1 Billion Facility to Help Asia-Pacific Supply Chains Grow

IFC will provide up to US$500 million in risk-sharing over the next three years for a portfolio covering payables finance, receivables financing and pre-shipment financing programmes.

Mizuho and IFC Launch $1 Billion Facility to Help Asia-Pacific Supply Chains Grow
Nathalie Louat, IFC’s Global Director for Trade and Supply Chain Finance, described access to working capital as a powerful driver of trade, business growth and hiring. Image Credit: ChatGPT
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Mizuho Bank and the International Finance Corporation (IFC) have launched a US$1 billion risk-sharing facility to expand access to supply chain finance for suppliers and distributors across Asia-Pacific markets, with particular attention to smaller businesses facing persistent working capital shortages. The partnership, marked at a signing ceremony during Sibos 2026 in Miami, brings together Mizuho's international trade finance platform and global corporate relationships with IFC's development-finance expertise and capacity to share financial risk.

Sharing risk to make more working capital available

IFC will provide up to US$500 million in risk-sharing over the next three years for a portfolio covering payables finance, receivables financing and pre-shipment financing programmes. The arrangement is designed to increase Mizuho's financing capacity and extend funding across its supply chain finance portfolio, strengthening links between multinational buyers, local suppliers and distributors in emerging markets. Mizuho Bank is the banking arm of Mizuho Financial Group, which trades on the New York Stock Exchange under MFG, and IFC is the World Bank Group institution focused on private-sector development.

For small- and medium-sized enterprises, a shortage of working capital can restrict production and make it difficult to take on additional business, even when customer demand exists. Supply chain finance can give eligible businesses access to funding linked to the credit strength of their buyers, helping them cover production needs, expand operations and support job creation. Sharing risk between a development institution and a commercial bank creates more room to finance businesses that may otherwise struggle to obtain the cash needed to fulfil orders.

Earlier payments help businesses keep goods moving

Eligible suppliers can use supply chain finance to receive earlier payment on approved invoices, reducing the time between delivering goods or services and collecting the money owed to them. That shorter payment gap can make it easier to cover day-to-day operating costs and prepare for the next order. Financing for distributors can support inventory purchases and business continuity, particularly when customers take longer to pay, or market volatility makes cash flow harder to predict.

Ken Masamoto, Head of Mizuho Bank's Global Transaction Banking Unit, described suppliers and distributors as essential to the resilience of global supply chains, with their financial strength helping keep goods, services and trade moving. He said IFC's risk-sharing support would allow Mizuho to broaden its financing capacity and help more businesses in emerging markets obtain working capital, giving them greater confidence to respond to demand and pursue sustainable growth.

An established IFC programme supports the expansion

The facility was structured through IFC's Global Supply Chain Finance programme, which has supported more than US$3.8 billion in supplier finance transactions since its launch in 2023. The Mizuho partnership builds on that programme by combining development-finance support with an established commercial banking network, providing a way to reach suppliers and distributors through existing corporate relationships. The approach reflects both institutions' commitment to financing solutions that can grow across markets and broaden financial access.

Nathalie Louat, IFC's Global Director for Trade and Supply Chain Finance, described access to working capital as a powerful driver of trade, business growth and hiring. She said partnerships with financial institutions such as Mizuho help mobilise private-sector financing for businesses that anchor supply chains and sustain employment across Asia-Pacific and beyond. The facility's intended impact rests on getting more financing to those businesses, supporting the everyday purchases, production schedules and commercial relationships that keep regional trade functioning.

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