IATA Bank Guarantee Update
IATA requires that financial security instruments (Bank Guarantees) issued in favour of the BSP are in accordance to the approved “new” global template that can be found on the IATA Resource Centre (click here): Country – South Africa and Topic – BSP Agents: [New IATA Bank Guarantee Template for South Africa]
IATA Accredited locations must ensure compliance with the instructions communicated to avoid any inconveniences.
As a result of the adhoc cases and challenges faced by IATA Accredited Travel Agents from certain local financial institutions (banks) and/or their branches in their inability to comply with the “New” IATA Template; IATA and ASATA will be working together through a joint working group to meet with Commercial Banks to identify a solution to ensure compliance with the New Global Template.
IATA Accredited Locations that face this challenge are requested to immediately notify IATA Customer Services of the problem; on exceptional basis and where confirmation of the same is provided, the Accredited Location can proceed with the issuance of the Bank Guarantee using the old/existing template that was used for financial security document in custody of the BSP.
The following should be complied with at all times:
1. Beneficiary address on the Bank Guarantee should be addressed to the IATA Office in South Africa
International Air Transport Association
88 Stella Street
Sandown Mews East,
2. Claim Period – Clause Number 5 – should strictly read:
“5. This Guarantee is valid from —– (insert date) and shall expire on —— (insert date) (hereinafter called the “Expiry Date”) and is conditional upon claim(s) being made and received by us not later than Two (2) months from the Expiry Date. Thereafter, our joint and several liability hereunder shall automatically cease and this Guarantee shall become null and void.”
IATA reserves the right for the final acceptance of the financial security document submitted.