Unlocking Trade Finance for MSMEs and SMEs with Negotiable Cargo Documents

ADB is exploring how the UN Convention on Negotiable Cargo Documents (NCDs) can reshape trade finance.

On 23 June 2026, through its Law and Policy Reform Program and in partnership with the Secretariat of the United Nations Commission on International Trade Law (UNCITRAL), ADB examined the Convention’s implications. Ben Sandstad, ADB Unit Head for Trade and Supply Chain (Legal), delivered the session's opening remarks, and Angelia Chia, ADB Senior Counsel, moderated the discussion. Yanying Li, Legal Officer at UNCITRAL, briefed ADB staff on how the Convention works in practice and what it means for trade finance.

For the region, NCDs offer stronger legal protection, lower risk, and faster digitalization. By making all transport documents (in addition to maritime bills of lading) negotiable, the Convention gives lenders rights over goods in transit in case of default—improving access to trade finance by broadening the assets available to be placed as collateral for such trade financing. 

This added legal certainty can unlock greater access to credit, particularly for micro, small, and medium enterprises (MSMEs) that often lack traditional collateral. 

The UN Convention on Negotiable Cargo Documents (informally known as the Accra Convention) will go into effect exactly 180 days after the 10th country deposits its instrument of ratification, acceptance, approval, or accession.

Through its Law and Policy Reform Program, ADB will continue to advance legal and regulatory reforms and build capacity—supporting more inclusive access to trade finance across Asia and the Pacific.