Trade Finance Services

Letter of Credit (LC)

Ghazanfar Bank issues Shariah-compliant letters of credit based on Wakalah (agency), ensuring that the underlying contractual arrangements, agency fee structure, and operational procedures comply with applicable Shariah principles and the requirements approved by the Bank’s Shariah Board.

Letter of Credit (LC)Protection & trade
A letter of credit document with international cargo transport
ApplicantImporter
BeneficiaryExporter
Payment basisComplying documents
Made for your next step

The details behind your confidence.

01

Wakalah (agency)

Ghazanfar Bank issues Shariah-compliant letters of credit based on Wakalah (agency), ensuring that the underlying contractual arrangements, agency fee structure, and operational procedures comply with applicable Shariah principles and the requirements approved by the Bank’s Shariah Board.

02

Payment undertaking

Issued on behalf of an importer in favor of an exporter upon presentation of documents complying with the LC terms and conditions.

03

Domestic & international trade

Reduces payment-related risks and strengthens confidence between buyers and sellers.

04

Applicable conditions

Eligible transactions use available international banking channels and Shariah-compliant arrangements, subject to regulatory and compliance requirements.

The details that matter

A closer look at
Letter of Credit (LC).

Understand the published features and prepare for a conversation with our team.

Explore banking services
01

Ghazanfar Bank – Trade Finance Services

The Trade Finance Section of Ghazanfar Bank plays an important role in facilitating domestic and international trade by providing reliable, secure, and Shariah-compliant banking solutions to businesses, contractors, suppliers, importers, exporters, and other commercial entities operating in Afghanistan.

Ghazanfar Bank offers a range of trade finance products, including Bank Guarantees and Letters of Credit designed to strengthen commercial relationships and provide financial assurance to counterparties, while strictly adhering to relevant sharia principals.

02

6. Letter of Credit (LC)

Ghazanfar Bank issues Shariah-compliant letters of credit based on Wakalah (agency), ensuring that the underlying contractual arrangements, agency fee structure, and operational procedures comply with applicable Shariah principles and the requirements approved by the Bank’s Shariah Board. A Letter of Credit is a trade finance instrument issued by Ghazanfar Bank on behalf of an importer, providing a payment undertaking to an exporter upon presentation of documents complying with the LC's terms and conditions. It facilitates secure domestic and international trade by reducing payment-related risks and strengthening confidence between buyers and sellers. Ghazanfar Bank supports eligible LC transactions through available international banking channels and Shariah-compliant arrangements, subject to applicable regulatory and compliance requirements.

Your next step

Let's get you
ready.

A conversation with your branch helps you confirm the information and choose your next step.

  1. 01

    Outline your transaction

    The Trade Finance Section of Ghazanfar Bank plays an important role in facilitating domestic and international trade by providing reliable, secure, and Shariah-compliant banking solutions to businesses, contractors, suppliers, importers, exporters, and other commercial entities operating in Afghanistan.

  2. 02

    Discuss the requirements

    Contact Ghazanfar Bank to discuss your trade transaction, guarantee or approved line of credit and the applicable terms and requirements.

  3. 03

    Review the terms

    Review the proposed facility and its applicable terms with the bank.

Good to know

Your questions,
answered.

What determines payment under an LC?

Payment depends on presentation of documents complying with the LC terms and conditions.

Which conditions apply to LC transactions?

Ghazanfar Bank issues Shariah-compliant letters of credit based on Wakalah (agency), ensuring that the underlying contractual arrangements, agency fee structure, and operational procedures comply with applicable Shariah principles and the requirements approved by the Bank’s Shariah Board. A Letter of Credit is a trade finance instrument issued by Ghazanfar Bank on behalf of an importer, providing a payment undertaking to an exporter upon presentation of documents complying with the LC's terms and conditions. It facilitates secure domestic and international trade by reducing payment-related risks and strengthening confidence between buyers and sellers. Ghazanfar Bank supports eligible LC transactions through available international banking channels and Shariah-compliant arrangements, subject to applicable regulatory and compliance requirements.

How can I discuss a trade transaction?

Contact Ghazanfar Bank to discuss your trade transaction, guarantee or approved line of credit and the applicable terms and requirements.

A conversation makes a difference

Let's move
forward together.

Our team can confirm current availability, charges and requirements for you.

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A Major Step in Expanding Banking Services: Ghazanfar Bank’s Acquisition of Bank Alfalah Afghanistan Operations!

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