International Trade Service

International Trade Service

The Trade Service is one of the core processes of the bank entrusted with the task of international banking services. The services are now provided at all branches of the bank with a single contact point of customer service relationship officers assigned for this purpose only.

Type of Trade Services

Commercial Bank of Ethiopia ,The Bank You Always Relay On!!

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about Documentary credit (L/C):

Documentary credit (L/C):

Documentary credit (L/C): is a written undertaking by a bank given to the seller at a request and/or the instruction of the buyer to make payment or accept and pay bill of exchanging (draft) drawn by the seller up to a stated sum of money within a prescribed time limit and against stipulated documents.

  • Import
  • Export
about Documentary collection:

Documentary collection:

Documentary collection: is a method through which banks handle a seller’s commercial documents with or without financial documents in accordance with instructions received from the seller in order to deliver the documents to buyer (importer) against payment and/or acceptance or against other terms and conditions.

  • Import
  • Export
about Advance payment

Advance payment

Advance payment: is a method through which a seller receives payment from a buyer prior to shipment or the agreed upon goods or rendering the agreed upon service.

  • Import-Payment though bank transfers
  • Export-Payment through bank transfers, traveler cheques, cash (as long as it is declared).
about Consignment basis payment

Consignment basis payment

Consignment basis payment: It is a method of payment in which the title to the goods remains with the seller until an agent (distributor) in foreign country sells them. Payment is made to the seller if and when the agent (distributor) sells the goods.

  • Export- it is applicable to perishable items: fruits, flowers, meat, molasses, etc as approved by the National Bank of Ethiopia
about Guarantee

Guarantee

Guarantee: A letter of guarantee issued by an issuing bank/guarantor is a written undertaking by the bank to compensate (pay sum of money) to the beneficiary (local or foreign) in the event that the obligator/principal fails to fulfill his/her /its obligations in accordance with the terms and conditions of the guarantee.

  • Bid bond
  • performance bond
  • advance payment guarantee
  • loan guarantee
  • retention guarantee
  • customs duty guarantee
about Franco valuta

Franco valuta

Franco valuta license(permit): is a license issued to importers of goods on which no foreign exchange is payable.

    about Small export items license

    Small export items license

    Small export items license (permit): is a license issued for small export items to tourists, foreign residents of Ethiopian nationals who wish to take souvenir, samples, gifts, repairs, replacements, exhibitions and personal effects and belongingness, etc.

      about Foreign Remitance

      Foreign Remitance

      Inward and outward funds transfers are received in CBE via S.W.I.F.T (The society for worldwide inter bank Financial Telecommunication) which is one of the largest financial messaging systems in the world.

        about Correspondent Banks

        Correspondent Banks

        Correspondent Banks