AUB Opens $1 bln Letters of Credit for Petroleum Sector

The total letters of credit, which the Ahli United Bank (AUB) opened for petroleum sector reached about $1 billion during 2013.

An official source has informed Amwal Al Ghad that the purpose of letters of credit is to export and import petroleum products by the general firms in the sector.

The source explained that AUB approved to open two letters of credit worth EGP230 million to export the crude oil abroad.

He added that the bank supported many vital sectors including foodstuff, medicine and petroleum products , noting that the bank succeeded to allure many customers in the trade market , especially financing of foreign trade will help to expand the capacity of marketing expansion through opening new markets for local products.

He pointed out that the short-term letters of credit period are ranging between 3 to 6 months, adding that the bank succeeded in the expansion of opening letters of credit and letters of guarantee.

He emphasized that the total foreign transaction volume of the bank reached around EGP10 billion at the end of the first half of this year and the bank is aiming to attain EGP20 billion at the end of 2013.

The foreign volume transactions of AUB recorded about EGP13.7 billion in 2012-end , against EGP3.6 billion in 2011, move up by EGP10.1 billion.