India is predicted to become the third largest economy by size after the US and China before the end of this decade. Driven by a supportive regulatory environment, high investments in (digital) infrastructure and a vast talent pool, the Indian economy is set to double to US$7trn by 2030.

One of the companies that aims to benefit from the country’s immense growth potential is Fuchs SE, an independent global supplier of lubrication solutions that has generated revenues of €3,.5bn in 2023.

“We were able to double our growth in India over the last two to three years by identifying the right market segments here in India,” says Parag Dongare, Managing Director of Fuchs Lubricants India – a 100% subsidiary of the Germany-based Fuchs SE.

Yet, growing the business in India comes with challenges from a treasury point of the view, adds Prathamesh Khedekar, the company’s Chief Financial Officer. “Managing the foreign exchange risks and ensuring compliance with cross-border trade regulations which are very time-demanding tasks.”

How did Fuchs tackle these challenges? Tune into this new episode of the flow InCorporate Treasury podcast and learn more about the story of Fuchs Lubricants India.

Over the last few years, Brazil has re-established its attractiveness to foreign investors. According to the World Investment Report 2023, FDI inflows into Brazil increased to US$86bn in 2022 compared to US$50.6bn one year earlier (+69.9%) which was the second-highest value ever recorded and the fifth worldwide.

Yet, for companies doing business in Brazil there are several challenges when it comes to financing local operations. Jeremy Hamon, Head of Group Finance, CFO, Primetals Technologies Treasury explains, “Brazil is peculiar because of its cross-border currency regulation preventing cash concentration partially with stamp duty for offshore deposits and a high withholding tax on interest income when doing intercompany financing.”

Moreover, adds Hamon, the Brazilian real is a non-transferrable currency which makes hedging for long-term maintenance contracts an “expensive challenge”. Primetals Technologies designs and builds plants for the metals industry and its Brazilian affiliate is a specialist in steel castors maintenance – which means it has long-term contracts with its customers.

In the light of all these challenges, how has Primetals still managed to set up an automated intercompany cross-border loan for its Brazilian affiliate? This comes close to a cash pooling structure with an FX component and therefore fulfills the requirements from the central treasury organisation. Tune into the new flow InCorporate Treasury podcast and learn more.

Driven by a young and aspirational middle class, digital consumption and travel

expenditures are booming in South-East Asia. A company that sits at the sweet

spot of these two trends is Tiket.com, one of the fastest growing online travel

agencies (OTA) in the world with more than 15 million app installations.

Founded in 2011, the Indonesian new economy company now cooperates with 140

airlines and 2.6 million accommodation providers.

Yet, acting as an intermediary between different parties creates multiple challenges

for the treasury function, explains Eddy Putra, Head of Treasury at Tiket.com. Given

the nature of travel, where booking is usually done in advance and settlement

to hotels is done only upon completion of travel, the company is exposed to FX

risks. It also faces multiple recurring cross-border payments to overseas hotels

which led to high fund transfer fees as well as manual processing.

How did the company address these challenges in a workflow automation project with

Deutsche Bank? Tune into the new flow InCorporateTreasury podcast and learn

more about this award-winning solution!