Bank of Ireland Global Markets has increased its unsecured foreign exchange facility to €50m as developments around Brexit continue to unfold. The increased FX facility, initially launched in June 2018 as a €20m facility, is designed to enable businesses to manage foreign exchange risk to give certainty on cash flow and profit margin.
Following the rejection this week by the UK Parliament of the proposed Withdrawal Agreement the prospect of further economic uncertainty has become even more of a reality. Bank of Ireland has moved quickly to increase its unsecured FX Facility to €50m, providing SME’s with a range of experts who actively trade in financial markets 24/7.
The enhanced facility sits alongside other dedicated Bank of Ireland customer supports including a dedicated Brexit portal, trade finance and invoice discounting facilities and FXPay, the online international payments platform.
Commenting on the recent Brexit vote and market reaction, Sean Crowe, Chief Executive, Markets and Treasury, Bank of Ireland said: “As Ireland’s largest lender, our primary focus is on the impact that Brexit has on our customers, who want some certainty about the way forward. However, the latest Brexit development is unhelpful as it adds to the uncertainty regarding the terms of the UK’s exit from the EU.
“Despite strong GDP growth and low unemployment rates, Bank of Ireland’s Economic Pulse recently revealed the second lowest results in the series’ history for business and consumer confidence. Half of Irish firms impacted by Brexit have put their investment plans on hold, highlighting its continued drag on the domestic economy.
“There are now only 71 days before the UK leaves the EU. I would strongly encourage any businesses out there taking a ‘wait and see’ approach up to now to talk to us. We are increasing our unsecured FX facility to €50million to meet customer demand. This supports businesses in proactively managing FX and interest rate risk, fixing their foreign exchange exposure at competitive market rates on the day they agree a contract with a customer or supplier, protecting their profit margins from adverse currency movements.”