What does a General License from OFAC allow?

A General License from the Office of Foreign Assets Control (OFAC) authorizes specific categories of transactions without requiring individual, case-by-case approval. This means that businesses or entities can operate under the outlined conditions of the General License without the need to obtain explicit permission for each transaction, streamlining compliance and facilitating lawful activities within the framework set by OFAC.

For instance, if a General License is issued for certain types of trade with a sanctioned country, organizations can engage in that trade provided they adhere to the terms of the license, thereby eliminating the delays associated with obtaining specific authorizations for every single transaction. This encourages compliance and allows for efficient trade under specific guidelines established by the government.

The other options do not accurately capture the essence of a General License. While a General License might permit transactions with certain countries or support specific efforts, it is not limited to humanitarian purposes nor does it offer financial incentives for compliance. Instead, its primary purpose is to authorize particular types of transactions broadly, ensuring clearer and more straightforward adherence to OFAC regulations.