Letters of credit on the territory of the Russian Federation

Maintaining a balance of interests of buyers and sellers on the territory of the Russian Federation when using the letter of credit method of payment and financing trade operations without the unnecessary diversion of money from circulation.

Letters of credit concerning Import

Ensuring the interests of the buyer and seller in the import calculations.

High rating of the bank and the ability to use the credit lines of correspondent banks and the parent bank to confirm letters of credit.
Reducing the risk of a commercial transaction by making a payment only after receiving documents that state shipment of products / service delivery.
Reliable instrument to cover payment risks for the seller.
More favorable terms of a commercial transaction - lower purchase prices and longer payment terms under the contract - in comparison with an open account or collection.
Legal protection in connection with subordination of a letter of credit to unified rules and conditions for documentary letters of credit.
Attracting short- and medium-term (up to 5 years) financing of foreign trade transactions at favorable rates of foreign banks.

Letters of credit concerning Export

Exporters Support via advising, execution, confirmation (if necessary), and granting a deferment of payment within the framework of a letter of credit opened by a foreign bank in favor of a supplier of products from Russia.

The possibility of receiving payment by the beneficiary immediately after the shipment of products and the provision of documents to the executing bank.
Minimizing the risk for the buyer of the product, due to the condition that the payment is made only after the documents confirming the proper execution of the contract are received.
The ability to promote Russian products to international markets by increasing the working capital of the buyer. Absence of advanced payments and attraction of financing within the framework of the letter of credit.
Existence of risk limits set for foreign banks in various geographies.

Letters of credit concerning Export

Exporters Support via advising, execution, confirmation (if necessary), and granting a deferment of payment within the framework of a letter of credit opened by a foreign bank in favor of a supplier of products from Russia.

The possibility of receiving payment by the beneficiary immediately after the shipment of products and the provision of documents to the executing bank.
Minimizing the risk for the buyer of the product, due to the condition that the payment is made only after the documents confirming the proper execution of the contract are received.
The ability to promote Russian products to international markets by increasing the working capital of the buyer. Absence of advanced payments and attraction of financing within the framework of the letter of credit.
Existence of risk limits set for foreign banks in various geographies.