Why you need this
It's secure
Offers the exporter and importer maximum security
It's insured
Includes insurance - both the exporter and the importer are covered
It's binding
It's a binding undertaking by the bank to pay a sum of money on behalf of the importer/exporter. The payment is conditional on compliance of documents from the exporter through their bankers.
What you can do with this
Eliminate foreseeable risk
Assure the importer
The importer is assured that the correct goods are shipped.
Ensure delivery
The exporter is sure of payment upon receipt of goods by the importer, provided the terms and conditions are fulfilled.
Reduce the risk
It removes many of the financial risks from Trade & Working Capital Division - the only remaining risk is that of the financial standing of the bank and the stability of the country where the bank resides.
