Buy from the commodity exchange without paying! – Tejarat News
According to Tejarat News, Gam bonds are going to be offered in the commodity exchange from this week, through which the raw material can be bought from the commodity exchange without paying cash.
Last week, Ali Salehabadi, the head of the bank, said that starting this week, it will be possible to use instruments such as Gam bonds in commodity exchange transactions. According to this order, it will be possible to buy the raw material from the commodity exchange without paying cash and by using Gam papers.
These bonds are a relatively new financial tool to provide credit needed by complementary industries to purchase raw materials; In this method, the purchase credit of the raw material is done with the guarantee of banks, and the recipient of the bonds has the option of keeping the bonds and receiving the nominal amount at the maturity of the bonds or selling them in the capital market, including the early discount rate.
According to the report of the world economy; The use of Gam bonds in a situation where the complementary industries of the country are facing a serious challenge of providing liquidity, on the one hand, this important challenge of this part of the country’s economic actors is solved in a non-inflationary way, and on the other hand, the upstream industries keep their customers during the recession.
What are the benefits of Gam papers?
The most important advantage and feature of Gam bonds is that these bonds are issued in the name of the operating bank and the payment of the nominal amount of Gam bonds at maturity is guaranteed by the bank. Gam bonds are issued electronically in standardized pieces with a nominal value of one million Rials and without interest coupons. These bonds have a date of issue, a date of admission to OTC and a maturity date.
The date of issuance shows the time of issuance of bonds by the issuing bank and transfer to the applicant’s production unit. OTC acceptance date shows the time when bonds become tradable on OTC. This time will be equivalent to one-sixth of the issuance time until the maturity date after the issuance date of the bonds, and the maturity date shows the time of depositing the money to the account of the final holder of the bonds. Due dates are standard and will be on the last working day of each month
From the date of issue to the date of acceptance in the over-the-counter exchange, Gam bonds will only be tradable between the members of the Gam system and under the mechanism of this system. From the date of admission to OTC, transactions in Gam system will be stopped and Gam bonds will be tradable only through OTC (small with competitive mechanism or block with agreement mechanism).
Also, the seller can either keep these bonds with him or, if he needs liquidity, discount them in the capital market and receive his money from the capital market, and finally, when these bonds are due, the obligee of the bonds will pay the amount to The final holder of Gam bonds will pay.