The term Inward Bills for collection (IBC) is used in Dashen Bank to indicate the set of Collection Documents which are also known as Cash Against Document (CAD).
Collection” means the handling by banks, on instructions received, of documents as defined in below, in order to
a) Obtain acceptance and/or, as the case may be, payment, or
b) Deliver commercial documents against acceptance and/or, as the case may be against payment,
c) Deliver documents on other terms and conditions.
Documents required for Permit Approval – Two stages
Purchase Order Approval
a) Purchase Order
b) Proforma Invoice
c) Insurance Certificate
d) Copy of valid Trade License
e) In case of second hand items like cars Commercial Invoice (certified by chamber of commerce) which show original price from third party other than the original supplier.
f) Tax registration certificate (TIN certificate)
g) Original title certificate for used vehicles.
h) NBE issues delinquent list of importers periodically. Customer’s name should not appear in the delinquent importers list of NBE for the period. If the name appears, there should be subsequent list indicating the given customer has cleared outstanding items at NBE.
Foreign Exchange Permit Approval (upon receipt of shipping documents)
a) Import Application Form duly filled, Signed & Stamped (as applicable)
b) IBC advice ticket
c) Shipping Documents, comprising minimum of the following: –
Commercial Invoices minimum 3 (three) copies certified by the chamber of commerce of exporter’s country.
Packing Lists minimum 3 (three) copies.
Certificate of Origin minimum 3 (three) copies.
Transportation Document in full set: –
Full set Bill of Lading (B/L) and nonnegotiable copies OR Air Waybill (AWB) OR Rail Waybill (RWB) OR Truck Waybill(TWB) OR Parcel Post Receipt (PPR) OR Courier’s Receipt (from DHL, UPS, EMS, etc.)
d) Previously Approved Purchase Order.
Expectations from importers on CAD basis
Customers are required to inform their foreign counter party (exporters/ suppliers) as the bank no way of contacting exporter:
Inform exporters regarding Foreign Exchange Regulation of Ethiopia applicable to import as entry of consignments are subject to fulfillment of the regulation.
To stress on the importance of presenting shipping documents that comply with Exchange Regulations of Ethiopia.
Shipping documents should enter the country only through bank channels i.e. only from exporters’ banks to local bank. Hand deliveries and mailing from exporter direct to local banks are not allowed. Importers are expected to stress on the importance of compliance to delivery channel.