Shinhan Bank Launches Supply Chain Payments Platform to Digitize B2B Transactions

Shinhan Bank said Monday it has launched a “supply chain payments and settlement platform” to improve transparency in transactions between small and midsize companies.

The platform is designed to replace the common practice of handwritten ledgers in business-to-business deals with a digital process, reducing risks tied to delayed payments. Shinhan Bank said it developed the service based on its experience in banking-as-a-service, or BaaS.

A key feature is that the bank directly manages the payments and settlement process to strengthen stability and trust in commercial transactions. The platform was also designed to connect with large-company supply chains. It aims to ease costs for transaction partners while supporting liquidity. Buying companies can use purchases on credit to cut financing costs. Selling companies can reduce uncertainty over collecting payments and quickly secure liquidity by discounting accounts receivable.

Shinhan Bank said the platform also lays the groundwork for tailored financial services for each company based on actual transaction data. For companies adopting the platform this year, the bank plans to waive payment guarantee fees for buying companies for one year to reduce initial costs.

A Shinhan Bank official said the bank will continue upgrading functions within the platform “to faithfully carry out the essential role of finance.”