To avail against a closed Islamic LC, you have to reopen it. This occurs when the Islamic LC comes in for negotiation after it has been closed. The reopening of the Islamic LC will put back the outstanding liability and availability for the Islamic LC.

To reopen a closed Islamic LC, you should have defined the event ROPN for the product under which the Islamic LC is processed. For this event, you should have ideally defined the same entries for the Islamic LC outstanding amount and the liability, as you would for the opening (issue or advice) of an Islamic LC. You can levy a charge for reopening an Islamic LC.

• Procedure to reopen an Islamic LC