What bankers, traders must know about standby letters of credit

MANILA, Philippines - If you are involved in negotiations and transactions in PPP investment projects, international trade (import & export), and project finance structures, it’s a must that you understand the use of bank guarantees and standby letters of credit (SBLC as differentiated from LC) as commercial instruments for use in your business transactions.

The International Chamber of Commerce (ICC), in collaboration  with Center for Global Best Practices, will hold a rare special two-day seminar entitled “Revised ICC Rules on Demand Guarantees and Standby Letters of Credit for Bankers, Investors, Importers, Exporters and Lawyers” on Nov. 18 & 19 at the Edsa Shangri-La Hotel, Mandaluyong City.

 Learn the ICC’s official interpretation on how to apply the revised rules on bank guarantees and standby letter of credit practice with focus on practical usage of these instruments, new definitions and many examples to highlight right practices vs. contentious errors and common pitfalls to avoid.

The seminar will provide you with a step-by-step approach to let you understand everything with clarity and precision. You will learn about the main differences between standbys and guarantees and how to implement and interpret these ICC rules in your everyday business transactions.

This two-day comprehensive program will discuss the Uniform Rules for Forfaiting 800, Uniform Rules on Bank Payment Obligations, and Uniform Rules on Demand Guarantees 758 which are adopted globally by all countries as universal standard rules in business transactions using such commercial instruments.

This program will feature Pavel Andrle, an international trade finance expert and lead resource person on uniform rules on demand guarantees and standby letters of credit. He will fly in from the Czech Republic for this to lecture on this special training program.  He has worked for a number of leading local and international banks in various key positions and is a resource person for seminars abroad for ICC National Committees.

For more details on this and all other upcoming best practices seminars including “Mastering the Use of LC for Import and Export”, “International Commercial Terms for Bankers and Traders (INCOTERMS)” and ICC Model International Sales Contracts (Nov. 21), check www.cgbp.org or call Manila lines: (+63 2) 556-8968 or 69; telefax (+63 2) 842-7148 or 59; Cebu lines: (+63 32) 512-3106 or 07; Baguio line: (+63 74) 423-5148.