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ICC UNVEILS NEW RULES FOR FORFAITING

Aruba, November 15, 2012 - The International Chamber of Commerce (ICC) today unveiled new uniform rules on forfaiting (URF) to govern the international forfaiting market estimated at more than US$300 billion annually. The URF will enter into effect on 1 January 2013, providing a set of rules for the sale of instruments used for financing trade – which include bills of exchange, promissory notes, documentary credits and invoice purchases as well as some newer instruments.

The International Chamber of Commerce (ICC) today unveiled new uniform rules on forfaiting (URF) to govern the international forfaiting market estimated at more than US$300 billion annually. The URF will enter into effect on 1 January 2013, providing a set of rules for the sale of instruments used for financing trade – which include bills of exchange, promissory notes, documentary credits and invoice purchases as well as some newer instruments.

Forfaiting facilitates the provision of finance to the international trade community and gives liquidity to instruments that would otherwise be limited to evidencing payment claims. By making payment claims easier to transfer, forfaiting enables them to be used as more than just a means of obtaining payment for goods or services delivered: they can be used to provide finance.

“The newly-adopted forfaiting rules are the latest example of ICC’s leadership in writing rules that govern international trade and investment and highlight the crucial role forfaiting plays in securing financing for exporters and importers,” said ICC Secretary General Jean-Guy Carrier.

Read more/ Source: http://www.iccwbo.org/News/Articles/2012/ICC-unveils-new-rules-for-forfaiting/

 

By orbitalnets.com