Which of the following statements about Standby Letters of Credit (SBLC) / Guarantees are correct?
1. Banks can issue SBLCs / Guarantees for a maximum period of one year.
2. SBLCs / Guarantees can be issued to clients for commodity hedging transactions.
3. SBLCs / Guarantees can be utilized by clients for any financial purpose as long as they are issued by a bank.
1
1 and 2 only
2
2 and 3 only
3
1 and 3 only
4
All of the above
5
None of the above