MSC gains proof of value with WaveBL

The successful process was also undertaken in conjunction with Swift and participating banks including Lloyds, Emirates NBD Bank and Federal Bank Limited.

According to WaveBL, this project successfully demonstrated the transfer of a series of structured electronic document presentations (including eBLs) originated on the platform and sent to and between Swift members, and back to the platform, all as part of a Letter of Credit (LC) transaction.

MSC’s role in the process was to first issue two eBLs, one straight and one negotiable, on the platform, which were then sent to an exporter on WaveBL, whereupon commercial documents like a packing list, invoice, and certificate of origin, were added.

The two eBLs were then sent to the advising bank by the platform over the Swift network, with the advising bank and the issuing bank exchanging the presentation between them, while WaveBL’s ledger maintained the tracking of possession and title of the contained eBLs.

Consequently, the issuing bank then released the documents to the LC applicant (the importer), including the endorsement of the negotiable eBL from the issuing bank to the order of the importer on the platform.

This process can ensure that payments can be received within hours, rather than days, and with the eBLs surrendered back to MSC on the platform the importer was able to collect the goods at the port of destination immediately.

This project clearly remains a key part of MSC’s plans moving forward, as Andre Simha, Global Chief Digital and Innovation Officer, MSC confirms: “MSC is committed to achieving full digitalisation of our bills of lading by 2030. This involves much more than streamlining processes. It embodies an ambitious vision that requires collaboration across both the shipping and finance sectors… this collaboration represents a pivotal milestone that propels us one step closer to achieving our goals.”