Import Letter of Credit Settlement Loan

The Import Letter of Credit facility is a credit product that Coopbank extends to applicants engaged in the import business or other applicants who import for various purposes on payment of a certain percentage of the value of the document while opening a Letter of Credit.

The Import Letter of Credit facility amount to be availed to the customer is up to a minimum of 30% (NBE directive) as per margin of the document value, depending on the financial strength of the customer, the letter of credit facility account performance, and marketability of the imported goods for one year against valid import documents. A list of goods eligible for import may be obtained from the National Bank of Ethiopia at the time of opening the letter of credit.

In addition to the General Eligibility Criteria, the customer must fulfill the following specific requirements.

• The importers applying for an Import Letter of Credit Facility should present their import trade licenses.
• In the case of non-importers applying for a one-time Import Letter of Credit Facility, an investment certificate or appropriate license from the concerned government organ and Pro-forma Invoice shall be presented.