Document background
The Beneficiary Certificate Letter of Credit is a crucial document in international trade finance transactions under Indonesian jurisdiction. It is required when a beneficiary (usually an exporter) needs to certify that they have fully complied with all terms and conditions specified in a Letter of Credit. The document becomes necessary during the presentation of documents for payment under a Letter of Credit, typically after goods have been shipped or services rendered. The certificate must conform to Indonesian banking regulations, particularly Bank Indonesia Regulation No. 5/11/PBI/2003 and Law No. 7 of 1992 (as amended), while also adhering to international UCP 600 standards. It contains essential declarations about document authenticity, shipment details, and compliance with LC terms, serving as a key component in the documentation chain that triggers payment under the Letter of Credit mechanism.
