Trade finance
In conditions of developing external economic links of Tajikistan and increasing the volume of trade between countries – partners, necessity emerges in using new and effective instruments of international accounts. In making deals in international business, first of all efficiency, accuracy and reliability are valued. New instruments should meet these contemporary requirements.
OJSC «Agroinvestbank» offers its client’s new package of services named Trade financing. Trade financing is a funding of foreign trade commercial deals of clients with the use of documentary forms of accounts, bank warranties and credit lines, provided to the bank by foreign financial institutions. Trade financing provides minimizing risks linked with conducting foreign trade deals in view of availability of additional warranties by the foreign banks.
Advantages of using trade financing:
- Importer gets extension on repayment for the delivered goods. At this the foreign exporter funds are paid straight after submitting shipping documents at the bank;
- Substantially low cost of funding for clients in compare to the current rates of common bank credits;
- Client’s own circulating assets are not drawn away (in opening bill of credit or issuance of issuance of warranty, the client does not reserve cash assets but provides Ban with other collateral security);
- Use of bill of credit enables the client to reject advance payments for benefit of contractor (if advanced payment is required, the bank can issue warranty of returning advance payment);
- Opportunity of receiving financing on long-term basis;
- Structuring foreign trade deal and development of optimal structure of financing with the help of high qualified specialists of the Bank that minimizes client’s costs and increase efficiency of the deal.
If your purpose is procuring technology, equipment and marketable goods for foreign suppliers, then Trade financing is what you need.
This bank product is among a number of active Bank operations and the procedure of reviewing client’s application for issuing Trade financing is identical to the procedure of reviewing client’s loan application.
Formation of interest rate on Trade financing takes place in the course of negotiations of the OJSC «Agroinvestbank» and the financing Bank-partner upon decision made by the Bank on issuing Trade financing as a result of reviewing client’s application.
Detailed information about other conditions and requirements of the Bank can be reviewed in the section loans in accordance with your type of activity and purpose of financing.
