Trade Services & Structured Finance

Export Risk Management

Citibank's trade specialist works with clients to identify regular trade flows and thus anticipates the need for protection from exposure to both commercial counterparties and sovereign risk. To assist companies to manage and mitigate risk, Citibank® relies upon a wide range of instruments and services:

• Documentary Letters of Credit
• Confirmation
• Standby Letters of Credit
• Discounting of Export Bills

Financing of Imports and Exports

Citibank® will work with clients to identify their financing requirements and provide trade solutions to address their complete needs. In many cases this includes issuance and financing of import letters of credit and advising , negotiation and financing / discounting of export letters of credit. We are in a position to structure export receivable financing for our customers using specialist structures for this purpose.

Bank Credit Services to Importers and Exporters

Citibank® credit services provide that an exporter's and or importer's obligations can be fulfilled.

Credit services that are available for exporters include:

• Advising, Negotiating of export letters of credit
• Standby letters of credit
• Bank guarantees
• >Advance payment guarantees
• Documentary export collections

Credit services that are available to importers include:

• Documentary letters of credit issuance
• Acceptance or guarantee of import bills
• Import documentary collections

Distributor Finance / Channel Finance

Citibank® works with key exporters and distributors in the UAE or based offshore in co-ordination with our offshore based Citibank® branch to explore distributor finance structures for local/import/export distribution finance. This may be done either under an existing product program in that country or within a specialist structure for that transaction.

Some key advantages to our customers include:

• Conversion of 'short term bank debt' to 'accounts payable' (supplier's credit) on customers balance sheet.
• Ability to negotiate lower product pricing by offering sight payment terms to Suppliers while retaining supplier credit financing.
• Minimizing local fiscal assessments which are payable on bank financing or overdrafts or interest payments but not to be construed or positioned as tax avoidance to adhere to the spirit of the country franchise.
• Avoid corporate policy limitations on bank debt.

Citibank® has a presence in 107 countries, this international network enables us to facilitate our trade business worldwide. We have a 24-hour or less turn around time for delivery or execution of any trade transaction.

Citibank® has the expertise and experience to advise the customer on any trade issues and can also structure different transactions to your benefit. We can also provide training to your staff on the various trade products and documentation issues.