Trade Facilitation Programme (TFP) from EBRD
Bank of Cyprus, fully appreciating its major role in the recovery of the Cypriot economy, is partnering with the European Bank for Reconstruction and Development (EBRD) to offer a new financing scheme aimed at supporting Cypriot businesses engaged in trade.
- EBRD issues guarantees in favour of international commercial banks, with the aim of promoting trade between the countries in which it operates.
- EBRD has partnered with 800 confirming banks in 77 countries.
- EBRD guarantees any obligations stemming from trade transactions entered into by Bank of Cyprus, covering the political and commercial payment risk of the transactions undertaken by Bank of Cyprus.
- The Programme covers letters of credit, standby letters of credit and international letters of credit issued by Bank of Cyprus of up to €50m, thus avoiding unfavourable terms and the increased cost to businesses using these products.
EBRD guarantees can cover up to 100% of the transaction amount, provided that the transactions concern eligible goods and services.
Eligible goods and services
EBRD guarantees may be issued to support transactions in all goods and services other than:
a) Military equipment, munitions or goods of non-military application that are intended to be sold to armies or to be used in the manufacture of weapons and military equipment.
b) Tobacco and tobacco products.
c) Beverages with a high alcohol content (any product with an alcohol content exceeding 12% volume)
d) Products included in the TFPEnvironmentalandSocialExclusionList.
e) Products for which the import/export in a country where EBRD operates is prohibited by existing legislation or international treaty.
Tangible collateral required as per bank policy.
The Bank reserves the right to reject a financing application if its terms and conditions are not met and/or modify any of the above conditions.
For more information, please visit our SME Banking Centres (Business Centres) & Corporate Banking Centres.