Margrith Lütschg-Emmenegger joins board of Tawreeq Holdings
14 October 2015, DUBAI, UNITED ARAB EMIRATES
Tawreeq Holdings, a pioneer in Sharia-Compliant Supply Chain Finance Solutions is pleased to announce the appointment of Margrith Lütschg-Emmenegger, the foremost expert in trade finance, to the Board of Directors of the firm.
The appointment marks a significant milestone for Tawreeq as it seeks to build its novel Sharia-compliant factoring and reverse factoring platform. Her appointment highlights Tawreeq’s growing institutional strength in Supply Chain Finance (SCF) through factoring and reverse factoring, along with expanding its offerings of innovative Sharia-compliant short-term investment products.
Ms Lütschg-Emmenegger has over 30 years’ experience in trade finance, with a special focus on forfaiting and factoring. She joined FIMBank on 1st April 2003 as Executive Vice President, responsible for Business Development and was appointed to President on 1st September 2004; she retired from the position at the end of 2014.
In 1999, Mrs. Lütschg-Emmenegger co-founded the International Forfaiting Association (IFA) were she served as the Deputy Chairman until September 2003. She was elected as Chairman of International Factors Group (IFG) in 2003, where she served as a Board Member since 2011. Margrith is also supporting the training and education efforts/projects of IFG especially the “Certificate of Finance in International Trade” (COFIT) in cooperation/certified by the University of Malta.
Ms Lütschg-Emmenegger has in the past served with Barclays Bank, and then with Midland Bank Aval in London before joining West Merchant Bank (now WestLB AG) where she had Global responsibility for forfaiting and factoring within WestLB AG, which was market leader in these products worldwide.
“I am delighted to join the board of one of the most innovative new financial services firms in the Middle East,” said Ms Lütschg-Emmenegger. “Tawreeq is working to solve a significant problem in the region by combining factoring and reverse factoring in a Sharia compliant structure.”
Ms Lütschg-Emmenegger has written numerous articles on Forfaiting and Factoring, including a book, published in 1998 by Euromoney, titled “A Guide to Forfaiting”. She has also been a regular speaker on the subject of trade finance for many years travelling around the World teaching audiences the benefits of Factoring and Forfaiting.
H.E. Dr. Mohamed Omar Abdullah Balfaqeeh, Chairman of the Board of Tawreeq, said, “Margrith Lütschg-Emmenegger brings a wealth of experience and expertise to our company. She understands the crucial role that trade finance plays in today’s globalised world, and will help us expand our business into new territories and regions.”
Haitham Al Refaie, Chief Executive Officer at Tawreeq, commented, “I am pleased to welcome Margrith as a new member of the Board who will be a tremendous asset to Tawreeq as we further our mission to support the region’s businesses.” Al Refaie added, “SMEs are the bedrock of the region’s economy, but they face bureaucracy and countless financing challenges. We want to help SMEs do business more efficiently and grow rapidly using a Sharia-compliant solution that takes the pain out of cash flow management.”
Tawreeq Holdings, launched in January 2015, takes an innovative approach to Supply Chain Finance by addressing the Middle East’s credit gaps through Sharia-compliant factoring, reverse-factoring and ethical management of the entire cycle of supply chain finance.
SMEs make up as much as 90% of the businesses in the region and employ the vast majority of workers. But they face massive challenges in managing their cash flow and getting the working capital they need.
Working capital is a major challenge for SMEs and solutions targeted at this critical sector are of paramount importance, as they will play a role in shaping a supportive and resilient economic environment in which SMEs can prosper.
Tawreeq tackles those challenges through cash-flow tools known as factoring and reverse factoring. Factoring is a short-term cash-flow solution in which a business sells its accounts receivable for a nominal fee while reverse-factoring entails the extension of payment terms of buying corporates to match it with their receivables.
Tawreeq goes further by offering businesses a Sharia-compliant method that allows a wide range of businesses, both in the region and internationally, easy access to a supply chain financing cycle for the first time.
Tawreeq’s Board of Directors is comprised of leading figures in the region’s economy, many of whom have had extensive experience in the financial services sector and more specifically with Islamic finance. Their combined experience will bring added depth and insights to the Board and enable it to steer Tawreeq’s ambitious growth plan.
About Tawreeq Holdings
Tawreeq Holdings, the first Sharia-compliant alternative financial services group of its kind, includes four entities operating under one umbrella. They include: Tawreeq Investments licensed and based in Luxembourg, Dar Al Tawreeq a Dubai-based company offering forfaiting and factoring services, iSCF Capital Limited, a DIFC-based company that connects local and regional corporates with international suppliers and is focused on advising and arranging the reverse factoring transactions, and HMR Consulting, an Abu Dhabi based company that collaborates between Corporates and SMEs.
Each entity plays a role in partnering with local, regional and international SMEs, corporates, government entities, financial institutions and investors to provide a novel approach to supply chain finance and support the development of the region’s supply chain finance offering. As the global supply chain finance industry continues its rapid growth, demand in MENA, which accounts for only 2 percent of the market, will continue to grow.