Trade Finance and Services

ICICI Bank Shanghai offers a wide range of trade finance and services designed to meet a range of short term to medium term trade financing requirements, so that your company can seize new business opportunities whenever they arise. Customers can benefit from our streamlined processes that are designed to provide best-in-class service levels. Whether you are an importer or an exporter, our correspondent network of over 381 foreign banks across 57 countries, and foreign currency Nostro accounts in more than 30 currencies, will ensure we meet most of your international trade requirements. With our expertise and experience, we can also structure and customise solutions to meet customers’ specific requirements.

Import Services:

Our wide range of import services caters to all business banking requirements of an Importer.

Issuance of Letter of Credit:

A Letter of Credit (“LC”) is a written undertaking issued by a bank on behalf of its customer in favour of the beneficiary to pay a certain sum of money against presentation of stipulated set of documents that comply with the terms of the LC. Under an LC, the creditworthiness of the bank replaces that of the customer. ICICI Bank issues, amends and pays sight and usance LC. Customers can benefit from our expertise in structuring the instrument in the best manner.

The ICICI Bank Edge

Competitively priced
Quick turnaround time

Import Bill Collections:

Documentary collections are a common and flexible mode of payment for goods purchased from domestic or overseas suppliers. It involves handling of documents by bank in accordance with the collection instruction received from remitting bank. Customers can rely on our expertise in efficient and prompt handling of Import collection documents. This includes direct import bill collection where the import bills/ documents have been received directly from the overseas supplier and payment is made against the same.

Export Services:

Letter of Credit Advising:

Any LC is forwarded to the beneficiary by the advising bank. The advising bank acts as a conduit between the issuing bank and the beneficiary. The advising bank ensures that the LC is authentic, the banks use test key arrangements with correspondent banks to ensure that messages used are secure.

ICICI Bank Edge

Convenience – Get your LCs delivered at your door step.
Efficient – Quick turnaround time
Assistance - Expert advice on the terms of the LC from our professionals
Wide international network of ICICI Bank

Letter of Credit Confirmation:

Confirmation of LC constitutes an undertaking on part of the confirming bank to pay to the negotiating bank or the beneficiary without recourse if the documents are presented in accordance with the terms and conditions of the LC. This undertaking is in addition to the undertaking provided by the issuing bank.

The exporter can eliminate the credit risk, foreign bank risk and country risks from his export transaction once ICICI Bank add its confirmation to the LC. The exporter is assured of payment, subject to non-discrepant documents, irrespective of non-payment by LC issuing bank.

Export Bill Negotiation:

ICICI Bank negotiates the export bills drawn under LC, if the documents are found to be credit compliant in terms with the LC conditions. ICICI Bank negotiates the bills at very competitive rates with world-class service standards. Negotiation under LC is much simpler than availing of regular working capital limits from a bank.

Export Bill Collection:

Export bill collection means sending of export bills to overseas bank/buyer through his bank to collect payment under export bills. The exporter can avail of documentary collection activities with ICICI Bank and benefit from increased control over export receivables and have an efficient cash flow management.

Purchase/Discounting of Export Bills:

Against sanctioned credit limits, ICICI Bank can pay you (as the exporter) the discounted value of the invoice, immediately up on shipment. ICICI Bank offers this service at competitive rates, and with world-class service standards.

Guarantees:

Enabling assurance of your payments.

While entering into a large-scale business transaction or carrying out a high-value project, a company is often required to submit a bank guarantee. In an increasingly challenging business environment, a bank guarantee is an effective way of securing performance and payment. We provide world-class bank guarantee services and in this way also assure your clients of your strong commitment.
Types of bank guarantees provided:

Performance Guarantee
Financial Guarantee
Bid Bond Guarantee
Advance Payment Guarantee
Deferred Payment Guarantee

Structured Trade Finance:

At ICICI Bank China, our team of trade experts regularly interact with customers to update them on latest developments in the field of Trade Finance. We have a specialised team to structure trade finance deals specifically suited to the requirements of the customers. Our structured trade suite includes back-to-back letters of credit, freight financing, front-to-back letters of credit among others.
Customers will be able to take advantage of our experienced structured trade finance team, across product, industry and geographical diversities to mitigate their risk in trade finance, raise finances at competitive rates and lower transaction costs.