DLA Piper has advised on the development and structuring of a new finance scheme to help small states to obtain easier access to international trade finance, which was launched on Tuesday 17 April at the Commonwealth Heads of Government Meeting (CHOGM) in London.

India, Sri Lanka, Mauritius and Malta have provided $5 million of capital to the scheme, called the Commonwealth Small States Trade Finance Facility. Standard Chartered Bank and the Bank of Baroda are the facility managers.

DLA Piper advised a working group formed to develop the Commonwealth Small States Trade Finance Facility, comprising of representatives from leading institutions in emerging markets trade finance, including the International Finance Corporation, Government of Malta, Central Bank of Malta, Export Import Bank of India and the Commonwealth Secretariat. The trade finance facility has taken five years to develop. This trade finance guarantee structure could release $100 million of incremental trade finance over a three-year period to any of the 31 Commonwealth nations classified as small states.

Commenting on the new scheme, Finance & Projects partner, Charles Morrison said: "We are delighted to have advised the Commonwealth Secretariat on this innovative trade finance scheme, which will help small states to diversify their economies and achieve sustainable development goals."

The Commonwealth’s Secretary-General, Patricia Scotland, said: "This new scheme is an example of the innovative and collaborative approaches that are pioneered by the Commonwealth; they have a hugely positive impact on the lives and livelihoods of people in our smaller and more vulnerable member countries. Without such a scheme, small states find it difficult to access the funds they need to diversify their economies and build inclusive prosperity by expanding trade. This impairs their ability to achieve the sustainable development goals."