31
imp ort ers
and
exp ort ers
are quit e
oft en confront ed
wit h p roblems arisin g
from
t
he movement s
of
goods from
one
count ry t o anot her
and
are
simult aneously subject
t
o
the
different
legislat ion, cust oms
and
p
ract ces
ices
of
t
hese count ries.
Certain
concerns of
imp ort ers
and exp orters
are w here
exp ort ers w ant
to be cert ain t hat
t
hey
are paid w hen their
goods
have b een
shipped
or dispat ched because t he
goods
will
be
out of t heir
cont rol.
Imp ort ers want t o be
cert ain
t
hat
they
receive
goods
t
hat
conform
t
o
w
hat
has
been ordered (Bho gal, 2008).
Commercial
banks
p
lay an
i
mp ort ant
role
in
int ernat iona l
t
rade.
Commercial
banks
act
as
int ermedi aries
bet ween
importers
and export ers.
They
have
insight and
wide p ract ical
e
xperienc e in
fore ign
t
rade
coup led
wit h legal
knowledge
of p rovision
in
differ ent count ries. Banks h ave
corresp ondent s
in most count ries,
t
hrough
w
hom
t
hey deal w ith
the
counter
p
arties.
Some
banks
m
ay have t heir
ow n bran ches
in
ot her
countries (Bhogal,
2008).
As
banks
are major
finan cia l
inst itut ions
t
hey
are t rust wort hy and
can
be
rel ied
upon
by
their cust omers.
T
hey
provide
advisory services
on
various subject s t o t heir
imp ort ing and e xp ort ing cust omers.
T
hey
collect
pay ment
from
overseas
count ries
from
imp ort ers
in
forei gn count ries
and
also remit
funds
t
o t he exp ort ers abroad on behalf
of t heir customers
(Bhoga l, 2008).
Banks
offer various typ es of
services
t
o local
and internat ional
business
communities.
These services
include financi al
facilities t o
exp ort ers
and
imp ort ers
by
w y of
ay of
loans
and
ov erdraft s,
discount ing
and
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