Coface eyes growth in South-east Asia amid rising trade risks

[SINGAPORE] In a world where global trade faces mounting headwinds, French trade credit insurer Coface is sharpening its focus on Asia-Pacific as it positions itself as a partner for businesses navigating risks.

Asia – and especially South-east Asia – represents both the company’s growth opportunity and rising trade uncertainty for Hugh Burke, chief executive officer of Coface Asia-Pacific.

“Asia has always been driving the global economic landscape… We are seeing a shift of opportunities from more mature markets in Asia to South-east Asia – like Indonesia, Thailand, Malaysia, Vietnam,” Burke told The Business Times.

Nonetheless, as the impact of trade tensions unfolds, “whatever business opportunities there are today, they are definitely in the face of uncertainty”, he added.

Founded in France in 1946, Coface has built its reputation as one of the world’s leading credit insurers, helping businesses manage payment risks and secure international trade.

But as the global economy fragments and supply chains shift, the company is leaning into its market intelligence and analytics to give clients an edge.

Turning information into strategy

Coface’s information services business is a division that Burke sees as becoming increasingly central as clients want more than just insurance, but insight. “Today, data is everything… Our role is to provide sufficient intelligence and data analytics to ensure our clients are informed.”

The company monitors a database of more than 220 million companies across 200 countries, which allows it to forecast any economic downturns and sector-specific vulnerabilities, he added.

For clients venturing into new markets at speed, the timely and granular intelligence can help them understand not only the new markets, but also how credible their new customers will be.

The data can also help clients to review their overall sales ledger of the whole portfolio with regard to the non-payment risks.

“The access to this intelligent data really offers early warning systems to help businesses act before the destruction actually hits them, so they can pivot away from potential disruption,” said Burke.

Coface’s insurer role makes its data quality uniquely critical.

“We have got skin in the game, so to speak,” noted Burke, adding that Coface underwrites 720 billion euros (S$1 trillion) worth of risk on a global basis. In Asia-Pacific, the amount is 100 billion euros.

“We are using the same information that we sell on business information to our business information customers to underwrite that risk and monitor that risk,” he said.

Some 800 people globally work solely in Coface’s information and data department. In Asia-Pacific, the number stands at about 45 and is growing.

Pivoting strategy in Asia-Pacific

By combining insurance, debt collection and risk intelligence, Coface aims to deliver an integrated offering that positions it as more than a credit insurer.

Burke frames this as responding to the realities of operating in Asia, where companies are pivoting manufacturing capabilities away from all in China to South-east Asia, such as Vietnam, Thailand and Malaysia.

In the meantime, volatile supply chains, shifting geopolitics and the surge in inter-Asian trade offer growth opportunities across trade credit and business information segments.

Burke said Coface is doubling down on high-growth markets in the region, particularly in South-east Asia by expanding its local teams targeting mid-market and direct sales, “to cover all the bases”.

“I think the time is right now for mid-market businesses in Indonesia, Malaysia, Vietnam and Thailand,” he noted.

Meanwhile, programmes such as the global leadership academy launched in 2022 continue to nurture talent for Coface. Two country managers of the French company, one in Singapore and the other in India, were graduates from the programme before moving up to the bigger roles.

“We invest heavily in our talent, and this is part of the Coface DNA and our culture,” noted Burke.

Coface has been establishing itself for more than 30 years in Asia-Pacific, and now handles a client portfolio spanning more than 20 sectors in the region.

For the first half of 2025, the region accounted for the biggest growth in terms of revenue, up 10.5 per cent on the year. Total group revenue increased 1.5 per cent to 936.6 million euros for the half year ended Jun 30.

Over the next decade, Burke still sees Asia as integral to global economic growth and a key hub of business opportunities.

“Coface is on the ground in Asia’s key markets, in Asia-Pacific’s key markets. It’s the growth journey here alongside our clients… that excites me the most.”