Trade Finance

  Trade Finance is the facilitation of trade of goods and services both locally and internationally, and financing against trade documents.  

  Why you should sign up for this product  

AIB Trade Finance places the whole globe in your hands by availing trade finance products and instruments that facilitate movement of goods and services from one point to another both locally and internationally.  

 Under this facility we have the following off-the-shelf products: 

  • Bank Guarantees 
This includes all types of bank guarantees, both local and international. e.g. Bid Bonds/Tender Bonds, Performance Guarantees, Advance Payment Guarantees, Retention Bonds, Customs/Transit Bonds, Payment Guarantees and Immigration Bonds.  

  • LPO Financing
We offer financing to our clients who have orders to provide goods or services but are limited by their cashflow.  

  • Invoice Discounting
  We discount invoices that have extended maturity dates to enable our clients to ease their cash flow constraints.  

  • Import and Export Collections
We take care of the import and export documentation on behalf of our clients to ensure prompt payment. This method is most suitable where the contractual parties i.e. the buyer and seller trust each other.

  • Letters of Credit
  We offer Letters of Credit thus undertaking to pay exporters/sellers on behalf of our clients (importers/buyers) provided that the stipulated terms and conditions are complied with.

  • Pre-shipment Financing
We provide bridging finance to exporters against an export LC or confirmed order to enable them to meet the initial costs of raw materials, production, transport and logistics.

  • Post-import Financing
We accommodate our clients’ post import financial needs by offsetting their import payment obligations that are still due, pending the receipt of proceeds from the sale of the imports.  

*Our terms for all the products are very flexible and are at very competitive rates.

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