Document background
The Letter of Credit 60 Days is a fundamental trade finance instrument used in international commerce when conducting business under Saudi Arabian jurisdiction. It serves as a secure payment mechanism where the issuing bank commits to pay the beneficiary within 60 days upon presentation of compliant documents. This document type is particularly relevant for transactions requiring medium-term financing and is commonly used in Saudi Arabian international trade. It must comply with both UCP 600 rules and local Saudi Arabian banking regulations, including Sharia principles. The document includes detailed specifications of the credit terms, required documentation, shipping conditions, and payment obligations. It provides security for both buyers and sellers in international trade while ensuring compliance with Saudi Arabian Monetary Authority (SAMA) requirements and international banking standards.
