By the end of this training course, trainees will be able to :
- Recognize trade finance products & activities, based on the latest ICC Publications and through applying the rules of such publications in practical way by solving problems and exercises.
- Provide solutions for different situations that may confront trade finance practitioners.
- Banks’ employees who work in trade finance sections.
- Private & public sectors’ employees who deal with trade transactions.
- Introduction.
- Risks related to foreign trade.
- Foreign trade deal & contract of sale components.
- Terms of delivery (Incoterms®2020).
- The four methods of payment in international trade:
- Advance payment.
- Open account.
- Documentary Collection:
- Definition.
- Types of collection.
- Parties of a collection.
- The collection order.
- Payment terms of the bills for collection.
- The cycle of collection.
- Bill of exchange.
- Documentary credits/ letters of credit:
- History of documentary credits.
- The role of the International Chamber Of Commerce “ICC”, paris.
- The development of the Uniform Customs and Practice for documentrarty credits “UCP”, (The development of rules for documentary credits).
- UCP 600 CONTENTS.
- The definition of the letter of credit (LCs).
- Complying presentation.
- Relations under the letter of credit.
- Benefits of letter of credit.
- Parties to a letter of credit.
- Other parties which facilitate the letter of credit.
- Letter of credit cycle.
- Types of letters of credit:
- Irrevocable LCs.
- In terms of confirmation:
- Unconfirmed LCs.
- Confirmed LCs.
- In terms of payment’s method:
- Sight payment LCs.
- Deferred payment LCs.
- Acceptance LCs.
- Negotiation LCs.
- Other Types of DCs:
- Revolving letters of credits.
- Transferable letters of credits.
- Back-to-back letters of credits.
- Standby LCs:
- Why standby letters of credit created?
- How can importers & exporters get benefit from sblc as an undertaking?
- What’s the difference between the Import LC and the Standby LC?
- Shipping (commercial) documents under DCs:
- Commercial invoice.
- Certificate of origin.
- Transport documents.
- Insurance documents.
- Other documents.
- Amendments under LCs.
- Examination of documents under LCs.
- Why LC’s Parties involved in this method of payment?
- Accounting treatment of LC’s as indirect facilities.