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Pre-Shipment Finance

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Pre-Shipment Finance
A short-term loan or other financing arrangement that an institution extends to a company to pay for inventory or other costs while it prepares its products for export.


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Red, Green clause LCs Red-clause L/Cs enable an exporter to obtain pre-shipment finance, which is a percentage of the L/C amount, from the advising bank.
 
 
 
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