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Financing trade is as old as trade itself. But while globalization and supply chains have transformed world commerce, trade finance remains mired in the past. The low-profit, operationally inefficient system, built on trust and wed to outdated practices, is primed for renewal, but the US–China trade war could torpedo its reforms. This expert overview from The Economist, useful for trade specialists and financial professionals, identifies the challenges the sector faces in a time of technological change and rising geopolitical tensions.
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The Economist is an independent weekly magazine covering business, foreign affairs, science and technology.
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