“Document Delivery Delays have been an unsettling reality for LC parties due to the COVID-19 crisis.”
In its “Guidance paper on the impact of COVID-19 on trade finance transactions issued subject to ICC rules”, the ICC Banking Commission recently addresses scenarios experienced in the delivery of documents. Who is responsible for the delay in delivery of documents from the nominated bank to the issuing bank?”
“European Bank for Reconstruction and Development – EBRD Rises to the Challenge at a time when trade partners need help most. In consecutive months, EBRD reached record-breaking financing levels under its Trade Facilitation Programme to help the emerging economies of countries it serves. In March, EBRD’s TPP delivered €385.6mn in trade finance for 144 trade transactions, but then eclipsed those numbers in April with trade support worth €503.5mn via 179 trade transactions.”
“ICC Trade Register Report 2019 again confirms the low default rates of trade finance products. Now in its 11th year, the report continues to accumulate data to increase the robustness of its findings. Released on 6 May and available at the ICC site, the report also offers views on the extent to which the 2020 COVID-19 crisis could impact trade and risk levels.”
“An Addendum to the 2014 ICC Sanctions Clauses Paper was released on 7 May. Why now? The paper notes a “resurgence” in use of sanctions clauses and that many sanctions clauses could make trade finance instruments “unworkable”. The question: Are sanctions clauses now more frequent, more dangerous, or both? Available at the ICC site, the Addendum introduces a sample clause modeled after another clause first developed in 2008 as an option for banks to consider.”
“Progress on the Latest ICC Draft Opinions is forging ahead. After cancellation of its April 2020 Dubai meeting, the ICC Banking Commission sent to ICC National Committees in mid-April a presentation consolidating feedback received in advance of the scheduled meeting and suggested modifications to the four Draft Opinions as recommended by the Technical Advisors. National Committees have until 22 May to respond to the ICC with any comments.”
“Use of Digital Signatures Due to Coronavirus, a survey conducted by 3rd Party in mid-March revealed how LC specialists are approaching operational and procedural matters due to COVID-19. Two months later, what has changed and how do responses reflect current business practices?”