Hyderabad: In a clear sign of growth in exports and revival of the economy, India Exim Bank forecast a credit growth of 10 per cent for the current financial year as against a growth of 4.43 per cent in the financial year 2020-21.
“Merchandise exports saw a jump of 55 per cent in the first six months until September this year, valued at around $200 billion, as against the same period last year,” said N. Ramesh, deputy managing director, India Exim Bank, here on Friday.
Exim Bank has operationalised a new initiative ‘Ubharte Sitaare Program,’ targeting domestic companies that have good export potential with advantages of technology, product or process.
The programme supports the companies in the form of equity, debt and technical assistance. In addition to direct financing from Exim Bank, an alternate investment fund of $250 million was formed with contributions from Exim Bank and SIDBI.
The bank aims to achieve a financing target of $7 billion for project exports over the next five years, through the funds received from the government in the national export insurance account (NEIA). In September this year, the Centre approved a corpus infusion of Rs 1,650 crore in the NEIA to provide export credit insurance cover for promoting medium and long-term project exports from the country.
Addressing a gathering of project exporters in the city on Friday, Ramesh said, “Exim Bank has been at the forefront of financing and facilitating project exports from India. Wth the corpus infusion in the NEIA trust, we are better geared for enhancing India’s project exports.”
The direct financing of over $100 million has been committed to domestic pharma and Covid-related companies this year to facilitate manufacturing and exports, besides a $250 million vaccine credit line extended to African institutions to facilitate imports from the country, he added.