Trade Finance

Comprehensive trade services designed to facilitate domestic and international trade

Key Trade Finance Products Offered by TCB
Letters of Credit (LCs)

Purpose: Secure international and domestic trade payments

Features:

  1. Available as Sight or Usance LCs
  2. TCB assures payment to the supplier upon presentation of compliant documents
  3. Reduces buyer and seller risks

Target Users: Importers/exporters and businesses purchasing large consignments


Bank Guarantees

Purpose: Provide assurance to suppliers, service providers, and project owners

Types of Guarantees:

  1. Bid Bonds
  2. Performance Guarantees
  3. Advance Payment Guarantees
  4. Customs Bonds

Benefit: Builds trust in contractual obligations and opens access to bigger deals

Import Financing

Purpose: Fund payment of goods before resale

Features:

  1. Post-import financing (up to 180 days)
  2. Covers duty, transport, and clearing costs

Benefit: Eases cash flow constraints for importers

Export Financing / Pre-shipment & Post-shipment Finance

Purpose: Provide working capital before goods are shipped or advance payment after shipment

Features:

  1. Financing against export orders or invoices
  2. Helps exporters manage production and shipping costs

Benefit: Smooths business cycles and enhances export competitiveness

Invoice/Receivables Discounting

Purpose: Access funds by discounting future receivables

Features:

  1. Up to 80–90% of invoice value
  2. Quick liquidity without waiting for debtor payment

Target Users: Businesses supplying to corporate clients, government, or institutions

Documentary Collections

Purpose: Facilitates payment collection via banks without involving credit

Types:

  1. Documents Against Payment (D/P)
  2. Documents Against Acceptance (D/A)

Benefit: Safer than open account trading; cost-effective compared to LCs