Posting a solution (TT Apr09 p32-33)

At a conference held at the end of January the European Bank for Reconstruction and Development (EBRD) announced measures to mitigate the consequences of the liquidity crisis and its impact on trade finance. One of its key decisions was to increase the limits on its trade facilitation programme from €800m to €1.5bn. The EBRD also plans to increase the availability of facilities for foreign subsidiary banks in the EBRD region, and provide liquidity in the form of cash facilities to issuing banks, a move aimed at supporting intra-regional trade between EBRD countries.