The State Bank of Pakistan (SBP) has authorised commercial banks to release shipping documents to exporters upon full advance payment against the exports of goods from the country.

In this regard the bank has made some amendments in its foreign exchange manual, which amongst other things envisage the drawing of export documents to the order of the bank in the importer's country where goods have been exported against advance payment or irrevocable letter of credit (L/C)

Amendments

The manual now says that on receipt of advance payment in full against the export of goods from Pakistan, "it shall be permissible for authorised dealers to release the documents to the exporters for despatch directly to their buyers/ consignees."

The manual has also been amended to read that it "shall be permissible for authorised dealers to release the export documents to the concerned exporter for despatch directly to the foreign buyer in such cases where advance payment in full (100 per cent) has been realised from the consignee abroad against the export of goods from Pakistan."

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