Private sector lender Karur Vysya Bank Ltd. (KVB) has joined hands with Unanu Technologies to introduce digital freight financing to fund transport contractors using the end-to-end logistics technology platform.
KVB is the first bank to introduce digital freight financing through marketplace in the banking sector, said MD & CEO B. Ramesh Babu.
This feature would enable KVB to provide funding based on the invoice and other mandatory documents available in the digital freight finance system.
The technology platform will provide a complete flow of transactions from the time the material is picked from shippers to unloading the material at the consignee’s place. All this would come in a digital format that is easy to track and handle the transactions, which would solve the lacuna that is currently prevailing in the existing logistics business, the bank said in a statement.
“This Digital Freight Finance Programme will go a long way in releasing the working capital which otherwise has a longer cycle time. This ultimately will enable the Transport Contractors to expand their business volume,” he said.
Srini Sundar, CEO, Unanu Technologies, said the next version would be blockchain-enabled to have integrity and security in transactions.
