The trade credit insurer and bank convened business leaders examining risk management and trade finance trends.
HONG KONG SAR – Media OutReach Newswire – 23 April 2026 – One year after the US Liberation Day, tariffs continue to disrupt global trade and supply chains while many economies and corporates still struggle to find their footing. The broke out of the Middle East conflict has compounded on the effect by driving lower global GDP growth (+2.6% in 2026), higher global inflation (4.3% in 2026) and stronger fiscal pressure. Amid such highly uncertain times, Allianz Trade in Hong Kong partnered with DBS for an exclusive session where industry experts and thought leaders dissected into today’s shifting geopolitical landscape and heightened credit risks, and offered their views on trade opportunities in an increasingly fragmented world.
“The Middle East conflict has added a new layer of shocks to an already fragile environment shaped by tariffs, weakening demand and declining consumer confidence. The good news is that firms have taken operational steps to adapt since the trade war began, with the most common strategies including inventory building, market diversification, sourcing from new suppliers and rerouting through third markets. Asia Pacific has emerged as the clear structural beneficiary of supply chain realignment. Hong Kong, as a major trading and financing hub in the region, continues to play a pivotal role in facilitating trade and investment flows. Together with DBS, we are here to offer our combined intelligence and support to help companies achieve customer and market diversification, better risk selection, and providing them with confidence to trade and grow safely,” states Hassan Omaish, CEO for Hong Kong, South Korea and Taiwan at Allianz Trade.
Jolynn Wong, Managing Director and Head of Global Transaction Services, DBS Hong Kong, says, “We are witnessing a lengthening of cash collection cycles across sectors impacted by trade route and inventory disruptions, leading to a growing proportion of receivables held at extended tenors. In this climate of heightened volatility, the role of trade finance extends beyond mere credit extension; it must now assure corporates of timely critical cash flow realisation and enable strategic suppliers to maintain production amidst disruptions. Leveraging DBS Hong Kong’s robust capital and liquidity, we provide clients with the necessary extended tenors and contingent liquidity to navigate prolonged inventory and shipping cycles, thereby fortifying their resilience. By integrating guarantees, letters of credit, credit insurance, and treasury hedging into a unified architecture through our digital platforms, we empower clients to transform volatile receivables into reliable cash flows and turn disruptions into investable growth opportunities.”
“For now, the impact of the Middle East conflict seems moderate, but such level of optimism remains fragile and could quickly fade if the conflict drags on. Allianz Trade’s Global Survey revealed that geopolitical and political risks are the leading threat globally for corporates (65%), while supply-related issues, such as bankruptcy of suppliers and shortage of inputs, came at second place (57%). The Middle East conflict has also tightened trade finance conditions. Not only payment cycles are lengthening, 43% of companies expect payment terms to deteriorate further. Pharmaceuticals, construction and computers/telecom are the most exposed sectors, while larger companies face disproportionately longer payment cycles,” says Ana Boata, Head of Economic Research at Allianz Trade.
https://www.allianz-trade.com/en_HK.html
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