Europe’s supply chain finance fix feeds hidden debt fears

Softbank-backed Greensill, the biggest non-bank provider of supply chain finance, also saw volumes and new business increase this year, a spokesperson told Reuters

LONDON: European companies hit by the coronavirus crisis are increasingly turning to a complex financial tool to pay suppliers, raising investor concerns around “hidden” debt.

Supply chain financing, by which companies can get cash from banks and funds to pay their suppliers without using working capital, has likely hit a record high in 2020.