Opening the LC in ALgeria

stela1812 · Post by **stela1812** » Fri Sep 24, 2010 3:15 am

Hello,

Can anybody give me some advice about opening the LC in Algeria, and which bank is the most convenient for this purpose?
We have Montenegro based company who is the exporter of goods and our sister company based in Algeria who is the importer.
As we do not have much experience with the bank and LC, some advice about procedure of opening and which documents are required would be precious to us. Also I need to know (approximatelly) how much time does this procedure take? What kind of guarantee do the banks ask for the coverage of LC? Or it is only the Reimbursement Agreement that is enough?

Thanks in advance
Stela

cristiand969 · Post by **cristiand969** » Fri Sep 24, 2010 1:04 pm

Hi Stela,
You may firstly want to read my previous post regarding settlement under L/Cs with Algerian banks where there is some issues.
I would strongly advise not to dispatch goods unless you receive a letter of credit available with your bank confirmed by your bank and backed-up by a Reimbursement Undertaking from a third European/USA Reimbursing bank (depending on the currency of the credit) . Otherwise you may experience a lot of problems notwithstanding you may present a complying presentations.
I wish you good luck.
Best regards
Cristian