Trade Finance

Your local banking partner for all your international trade needs

Enjoy a wide range of services from the region's leading trade finance experts.

Overview

At CBD, we understand that trade finance is more than just handling transactions. It's also about providing strategic advice and solutions that help you optimise your trade flows and enhance your competitiveness in the global and local markets.

Contact us today to discover how our trade services and advisory solutions can help you achieve your trade ambitions.

Imports

Imports

For businesses importing goods or services, navigating the complexities of international trade can be challenging. Our import finance solutions are designed to streamline the documentation and purchasing process, enhance payment security and improve cash flow management. By leveraging our comprehensive suite of import services, businesses can mitigate the risk associated with international sourcing and focus on expanding their product offerings and market presence.

Letter of Credits (LC)

A Letter of Credit is a commitment by the importer's bank that payment will be made to the exporter, if the terms and conditions specified in the LC are strictly adhered to. It acts as a crucial tool in managing payment risks in international trade.

Advantages:

  • Ensures payment security for the exporter
  • Provides the importer with control over the use of documents
  • Facilitates smooth international trade transactions

 

Our Import LC service secures your payments while ensuring that while the goods are shipped, documents are released as per the agreed terms and thereby a reliable supply chain.

Import Documentary Collections

This service involves the importer's bank who handle documents in accordance with specific instruction from the Exporter's bank. The documents are released against payment or acceptance and thereby ensure payment and delivery of documents.

Advantages:

  • Enhances transaction security with controlled document release
  • Streamlines the payment process for imports
  • Offers a cost-effective solution for managing international purchases
Our Import Documentary Collections service ensures efficient and secure handling of payment and documents, reducing the complexity and risk in your import operations.
Import Loans (TR Loans)

Import Loans or Trust Receipt Loans provide short-term financing to importers to pay for their goods before the proceeds from their sale are received. This helps in managing the cash flow gap for payment of imported goods and receiving the sale proceeds.

Advantages:

  • Improves liquidity by providing immediate funds for payment
  • Bridges the gap between payment and sales proceeds
  • Supports smooth and continuous import operations
With our Import Loans, you can ensure timely payments to your suppliers while managing your cash flow efficiently, enabling uninterrupted business operations and growth.
Exports

Exports

In the global marketplace, exporting goods or services plays a pivotal role in business expansion and growth. Understanding the complexities of international trade, our export finance solutions are designed to mitigate the risks associated with exporting, ensure timely payments, and improve cash flow, thereby enabling businesses to trade with confidence.

Export Letters of Credit (LC)
An Export Letter of Credit (LC) is a bank's undertaking, on behalf of the buyer, that payment to the seller will be effected provided the terms and conditions stated in the LC are fulfilled. This financial instrument helps in mitigating the payment risks associated with international trade.

Advantages:

• Secures payment assurance from the buyer's bank
• Reduces the seller's credit risk
• Enhances trust in transactions with new or existing international partners

Our Export LC service ensures that your business can expand into new markets with the assurance of payment security, thus facilitating smoother and more reliable international trade operations.

Export Documentary Collections

Export Documentary Collections involve the handling of documents necessary for the shipment of goods by the exporter's bank to the importer's bank, with specific instructions for the release of those documents to the buyer against payment or acceptance.

Advantages:

  • Simplifies international sales transactions
  • Offers a cost-effective alternative to LCs
  • Provides a secure method of document presentation and payment 

With our Export Documentary Collections service, businesses can benefit from streamlined processing and enhanced security in document handling, ensuring that international sales are conducted efficiently.

Bills Discounting

A financing mechanism that allows exporters to obtain immediate cash by selling their invoices or bills of lading at a discount before the payment due date. This service improves liquidity by providing upfront cash flow.

Advantages:

  • Immediate improvement in cash flow
  • Reduction in credit risk
  • Allows businesses to leverage sales without waiting for payment terms to conclude
  • Value Proposition: Our Bills Discounting service provides your business with the financial flexibility to reinvest in operations and growth opportunities by unlocking the value of receivables ahead of schedule.
Guarantees

Guarantees

Guarantees provide your business with a robust financial safety net, ensuring your commercial commitments are met with unwavering reliability without the initial cash flow. Our range of guarantee solutions cater to various business needs, offering security and confidence in both domestic and international transactions.

Risk mitigation
Secure your business dealings by mitigating the risk of non-performance from partners.

Enhanced credibility

Strengthen your business reputation with guaranteed financial commitments.

Cash flow management

Preserve your working capital without the need for immediate cash collateral.

Global acceptance

Our guarantees are recognised and respected worldwide, facilitating international trade.

Customised solutions

Tailored guarantees to match the specific needs of your business and transactions.

CBD undertakes payment obligations on behalf of clients via:
  • Tender Guarantees
  • Performance Guarantees
  • Advance Payment Guarantees
  • Retention Money Guarantees
  • Labour eGuarantees
  • Maintenance Guarantees
  • Financial Guarantees
  • Cross-border Guarantees via correspondent banks
  • Any specifically tailored Guarantee structure
Commodity Finance

Commodity Finance

We provide a set of financial instruments available to Commodity clients involved in the production, processing, or trading of commodities. It provides working capital necessary to keep the flow of goods moving from producers to the market. Our Commodity Finance team aims to provide regional and international trading firms with comprehensive solutions for business financing with tailor-made products such as import financing, short-term bridge and warehouse financing, and receivable financing.

Our Commodity Finance services

 

Our Commodity Finance services enable your business to navigate the complexities of commodity markets with tailored financing solutions that support your trading activities, manage risks, and help secure profitability. We also cover all  underlying commodities in:

 

  • Energy
  • Agribusiness
  • Metals
  • Precious metals (except gold and silver)
  • Stones
  • Broad international coverage

 

Advantages
  • Flexible financing that aligns with the commodity trade cycle
  • Risk mitigation tools tailored to the volatile nature of commodity markets
  • Access to a range of structured financing options to support trading activities

Trade Services and Advisory Solutions

Trade Services and Advisory Solutions

Our Trade Services and Advisory Solutions include:

iTrade, our digital trade finance platform: We leverage the latest technology to offer you fast, convenient, and  a secure online platform for your trade transactions. Our iTrade platform allows you to initiate and manage your trade finance portfolio from anywhere at anytime, with features such as real-time tracking, automated alerts, and customized reports. 

Advisory and structuring expertise
We have a team of experienced trade advisors who can provide you with tailored solutions for your complex trade scenarios. Whether you need to structure a cross-border deal, access new markets, or manage currency fluctuations, we can help you find the best solution for your business objectives and risk appetite.
Wide correspondent banking network

We have established strong relationships with correspondent banks across the world, covering key trade corridors and emerging markets. This enables us to offer you competitive pricing, fast processing, and enhanced reach for your trade transactions.

Compliance and risk management
We adhere to the highest standards of compliance and risk management in our trade operations, ensuring that your transactions are conducted in accordance with the relevant regulations and best practices. We also provide you with tools and guidance to help you comply with the anti-money laundering, sanctions, and trade compliance requirements.
Benefits of our Trade Services and Advisory Solutions

With our trade services and advisory solutions, you can benefit from:

  • Enhanced efficiency and convenience: You can streamline your trade processes and reduce your operational burden by using our digital platforms and automated solutions.
  • Improved cash flow and working capital: You can optimize your cash flow and working capital by accessing flexible and timely financing options for your trade activities.
  • Greater security: You can protect your business from various trade risks and uncertainties by using our trusted and reliable trade products and services.
  • Increased competitiveness and growth: You can gain an edge over your competitors and expand your business opportunities by leveraging our expertise and network in the global trade arena.
Contact us today to discover how our trade services and advisory solutions can help you achieve your trade ambitions.

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