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of <h1>AD Banks Can Issue SBLCs for Short-Term Trade Finance Abroad, Subject to Master Circular Guidelines Compliance.</h1> AD banks are permitted to issue Standby Letters of Credit (SBLC) on behalf of their customers to secure short-term trade finance from overseas lenders in foreign currency. This is allowed provided the SBLCs comply with the guidelines outlined in the Department of Banking Regulation Master Circular on 'Guarantees and Co-acceptances,' as updated periodically.
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