A banker's acceptance (BA) is a money-market instrument most commonly used to finance:

Explanation

A banker's acceptance is a time draft that a bank has agreed (accepted) to pay at a future date, effectively guaranteeing payment. Because it substitutes the bank's credit for the buyer's, it is widely used to finance imports and exports where the parties may not know each other's creditworthiness. It trades at a discount in the money market like other short-term instruments.