Regulatory Alerts2017-06-09
Added · Updated
Instructions on Direct Credit Facilities in Foreign Currencies for Exportation and Re-exportation Sectors
The Central Bank of Jordan permits banks to grant direct foreign currency credit facilities for exportation and re-exportation activities under specific conditions. For exports, facilities must generate external cash inflows exceeding repayment obligations, require a certificate of origin, and be repaid in the original currency. Re-export facilities are capped at the value of commodities, also requiring external cash inflows and same-currency repayment. These instructions, effective immediately, prohibit using such funds for fixed assets except for export-related machinery and restrict eligibility to clients licensed for trading activities.
Topics
credit
fx
Share