I would be grateful for any input from the knowledgable gentlemen and ladies familiar with current traditional banking practice with regard to LC's and commodity trading.A purchase of goods(food-stuff) has been agreed with the end user being based in Libya.The seller does not want to accept the LC from the Libyan bank.Bar putting the funds in a mainstream European or American bank and issuing the LC are there any other alternatives you can suggest?
Regards.

Sir:

Ask your client if he can accept a "Silent Confirmation of the Lybia L/C" through an Insurance Company. If yes i may able to assist you.

Post you e-mail contact please to be able to start communication with you by interest.

TW

a couple of options:

 

a. the Lybian Bank can be asked to open the lc from its Malta based correspondents

b. they can ask their German or Franch correspondents to confirm or issue

c. do the business on a back to back with a tunesian bank

Many thanks for your guidance.They have now proposed issuing the LC through a Tunisian bank.However,I have asked for details of the bank that will confirm the LC and they have said it will be a prime bank but they dont give exact details yet as it will depend on with whom they have the credit line when the LC is due to be issued.Is this usual?!
Kind regards.

they have to allocate the facility, which means the liquidity planning of he bank is involved, takes a couple of days at most, in Lybia however it needs also pre approval by the Central Bank depending on the bank and amount as well as currency and product

An Irrevocable Confirmed Letter of Credit Payable at Sight at the desk (settlement) of beneficiary bank will solve clients' problem.

The buyers' Libyan bank knows what needs to be done when above is requested.