StanChart introduces digital cross-border LC
Standard Chartered Bangladesh has recently completed the transmission of the country's first-ever paperless and digital cross-border letter of credit (LC).
The first client to complete the paperless application for the LC issuance was Heidelberg Cement Bangladesh Ltd, said the multinational bank in a press release yesterday.
The transaction was made possible by a recent amendment to Bangladesh's Import Policy Order, advocated for by Standard Chartered.
As per the new order, clients can apply for an LC online using bank's digital portal and there is no requirement to submit a signed physical copy of the application.
The first client to complete the paperless application for the LC was Heidelberg Cement Bangladesh
The change will facilitate international trade for the country by making the LC application process simpler, faster, and more efficient, said the bank.
"Digitalising trade is a critical lever to accelerate economic development and improve productivity," said Naser Ezaz Bijoy, chief executive officer of Standard Chartered Bangladesh, in the press release.
He described the online LC application system as a milestone in the digital trade journey of Bangladesh.
"Digital LC application will increase the operational efficiency for our clients."
Jashim Uddin Chowdhury, chief financial officer of Heidelberg Cement Bangladesh, welcomed the development, saying it would reduce the time taken for forwarding an application to banks.
Stanley Sia, co-head of Asia, Digital Channels & Data Analytics of Standard Chartered, said, "Bangladesh has always been a priority market for trade digitalisation in the Standard Chartered's global footprint, given its immense potential."
"The revision in the Import Policy Order is a change we have long been waiting for. We believe that this amendment in the policy is a big, positive step towards making Bangladesh's trade more globally competitive."