Landmark 4-corner DNI transactions completed

We are delighted to report a major news on the innovation front as Lloyds and Mercore have completed a series of landmark transactions to involve the node-to-node transfer of a Digital Negotiable Instrument (DNI) between two financial institutions, and the first DNI transactions between two financial institutions each facing off to their own importer or exporter. The landmark transactions demonstrate the ease and advantages of digital trade transactions through shared principles and advanced technology.
 
At the beginning of 2024, members of the DNI Initiative agreed to raise their ambition by focusing on the #1 challenge in digital trade innovation: scalability. The decision was taken to embark the ITFA DNI Initiative community on the 4-corner model, and to launch the DNI Adoption Group which gathers on a monthly basis.
 
This week, Lloyds and Mercore announced the completion of a series of 4-corner Digital Documentary Collection transactions involving the shipment of sugar from Mercore’s client, an exporter based in the Americas, to Lloyds’ client in the UK.  These transactions are the first in the world to involve the node-to-node transfer of a DNI between two separate financial institutions, and the first to involve the handling of a DNI between two financial institutions each facing off to an importer or exporter. Prior DNI transactions have involved only one financial institution interacting with both the importing and exporting party. 
 
The full press release outlines how the transaction was executed.
 
Do you also want to take advantage of ITFA’s DNI Initiative, and learn from those ITFA members who are leading the digital transformation of our origination practices? Join us at our DNI Initiative online and in-person gatherings:

1. Pre-Sibos on-line session for French market taking place on 17 October in collaboration with Paris Europlace and ICC France;
2. Monthly on-line DNI Initiative Adoption Group session – next one on 23 October;
3. Sibos in Beijing where members will gather on 1:1 basis to progress the 4-corner interoperable DNI transactions;
4. Annual Afreximbank Trade Finance Seminar hosted in Windhoek, Namibia on 5 -7 November 2024;
5. Trade Finance Investor Day on 11-12 November at the Four Seasons Park Lane in London (in person);
6. MLETR 2025 Planning Meeting for the US market on 12 December hosted by Lloyds Bank in New York City (in person).

 
We invite to raise your interest with the ITFA Secretariat via email to sec@itfa.org.