Bank Guarantees

Reassure your buyer or seller of their payment with AGD's Bank Guarantees and Tender/Bid Bonds and Security. 

Bank Guarantees

Bid Bonds

Bank Guarantees

The following guarantees can be issued by Asia Green Development Bank Limited:

1.    Transfer Bond/ Bid Bond/ Bid Security
2.    Performance Guarantee
3.    Advance Payment/ Down Payment Guarantee
4.    Repayment Guarantee

Bank Guarantee 
    

At AGD Bank, we issue the above-mentioned guarantees to government departments or private limited companies.

We also issue our counter guarantee to foreign countries, through our Correspondent Bank by SWIFT, and reissue or advice our guarantee on behalf of correspondents abroad.

Issuing of our Guarantee may be defined as the irrevocable obligation of a bank to pay a sum of money in the event of non-performance of the contract’s terms and conditions.

The guarantee amount, commission and charges are payable in advance for the whole period of validity of the guarantee by cash or bank account.

The guarantee amount may be deposit by Trade Finance, as the applicant’s request.

Performance Guarantee 
 

AGD Bank issues a Performance Guarantee on behalf of a service contractor or exporter who has to effectually perform all the conditions of the contract between themselves and the company that awarded the contract. 

A contract is made between the Principles and Beneficiary for the supply of goods/services.

In the event of default or failure to perform the obligations set under the contract, the beneficiary may be able to claim the amount and the bank undertakes to pay the claim amount, eg, the constructions. 

Advance Payment / Dawn Payment Guarantee 
 

AGD Bank issue Advance Payment Guarantee/ Dawn Payment and Progress Payment Guarantee

(i) on behalf of the suppliers of raw materials / finished goods or

(ii) on behalf of a contractor for execution of contract when the contractor receives the advance payment. These guarantees give protection to the buyer who has made in advance or progress payment to the exporter before the contract has been completed. These guarantees provide for the repayment of the advance or progress payment should the exporter fail to carry out the contract terms.

Repayment Guarantee 
 

AGD Bank issues a Repayment Guarantee to help protect the interest of the party awarding the contract (beneficiary) in respect of the repayment of payment or advances made by them, in the event of the principle not fulfilling the contract.

For more information, please write to us at [email protected] and we will get back to you.

Bid Bonds

AGD Bank issues Tender Bond / BID Bond / Bid Security as part of a supply bidding process by the contractor to the project owner. This is to provide a guarantee, that the winning bidder will undertake the contract under the terms at which they bid.

This guarantee provides the beneficiary with a financial remedy if the applicant fails to fulfil any of the tender conditions.

For more information, please write to us at [email protected] and we will get back to you.