Payment By Bank Payment Obligation (BPO)
A Bank Payment Obligation (BPO) is an irrevocable and independent undertaking of an Obligor Bank (the bank of the buyer/importer) to pay (or to incur a deferred payment undertaking and pay at maturity) a specified amount to a Recipient Bank (the bank of the seller/exporter) after a successful electronic matching of pre-agreed data sets (or acceptance of any mismatches) according to an industry-wide set of rules issued by the International Chamber of Commerce (ICC), the Uniform Rules for Bank Payment Obligations (URBPO).
- Obligor Bank: the bank that issues a BPO and is usually, but not always, the Buyer’s Bank.
- Recipient Bank: the bank that is the beneficiary of a BPO and is always the Seller’s Bank.
Starting Or Developing A Business in Africa?
We advise international buyers, sellers, importers and exporters on the best bank instruments and payment terms for the profitable export, import, marketing, sales and distribution of products and goods in West Africa.
Please contact us for a no obligation discussion regarding starting, set up or develop an import export business or to discuss trade investment opportunities in West Africa.
- Bank Letter of Credit (L/C)
- Standby Letter Of Credit (SBLC)
- Bank Guarantees & Counter Guarantees
- Bank Payment Obligation (BPO)
- Documents Against Bank Payment