Prime Bank has become the first bank in Bangladesh to issue a letter of credit (LC) under Export Credit Guarantee Program of United States Department of Agriculture (USDA).
Last year, the Commodity Credit Corporation of the United States enlisted Prime Bank as Approved Foreign Financial Institution from Asia Region under GSM-102 for smooth import of agricultural commodities from the USA as per a press release issued on Thursday.
Recently, Prime Bank successfully transmitted the first ever LC under the said program on account of Square Textiles Limited for import of raw cotton from the United States.
As an Approved Foreign Financial Institution, Prime Bank would be able to support its valued customers for import of US food and agricultural commodities like cotton, soybeans, grains, cereals, woods, nuts, fruits etc. under the Export Credit Guarantee Program administered by USDA.
This new capability of Prime Bank would help facilitate the country's trade with the United States being a major Trade Financing bank in the country and offer value proposition for the businesses having major supply chains in the US agricultural sector for their necessary inputs in textiles, foods, edibles and allied industries in the country.
Commenting on the occasion, Prime Bank's Acting Managing Director and CEO Faisal Rahman said, "USDA has enlisted Prime Bank for a long track record of conducting international business with compliance, transparency and accountability. This will help us support our clients in agricultural commodity import better and also will boost our international trade portfolio. This first transmission of LC is just the beginning of a new chapter in our international trade services."