Recent statistics revealed that nearly 80%-90% of traders mainly depend on trade finance for financing their imports and exports. These bank instruments not only help them to conclude their deals but also, helps to mitigate the financial risks involved.
Are you running an import-export business? Are you going to import goods from your overseas supplier? But facing a lack of cash flow or lack of trust to proceed with your deal? Now you can do your imports & exports with confidence by making use of the Letters of Credit
SWIFT MT799 or Bank Comfort Letter is the authenticated notification issued by banks on behalf of buyers to ensure that the buyer is financially capable to proceed with the purchase of bulk goods. So, how does SWIFT MT799 works? This is what we are going to discuss in this article.
Do you know – What is Commodity Trade Finance? Commodity Trade Finance is the method of financing import and export of all kinds of goods – energy (petroleum products, natural gas), metals (iron ore and steel products…); also, agro (rice, wheat, sugar cotton, etc.).
Bank Guarantees is a written undertaking issued by banks on behalf of their client to ensure that all obligations will be met without any default. Since the banks are giving the written undertaking; in case, if the client has failed to meet the contractual terms; then the banks are liable to cover it.