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Export-Import Bank of India Role and Functions

July 15, 2010

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Exim Bank of India
SET UP BY AN ACT OF PARLIAMENT IN SEPTEMBER 1981 WHOLLY OWNED BY GOVERNMENT OF INDIA COMMENCED OPERATIONS IN MARCH 1982 APEX FINANCIAL INSTITUTION OBJECTIVES: “… for providing financial assistance to exporters and importers, and for functioning as the principal financial institution for coordinating the working of institutions engaged in financing export and import of goods and services with a view to promoting the country’s international trade…” “… shall act on business principles with due regard to public interest” (Export-Import Bank of India Act, 1981)

Ahmedabad Bangalore Chandigarh Chennai Guwahati Hyderabad Kolkata New Delhi Mumbai Pune q q q q q q q q q q q q Appointed by Govt. of India * As per Exim Bank Act q q q .3 Management BOARD OF DIRECTORS (16)* Chairman and Managing Director 5 Directors: Government of India 3 Directors: Scheduled Banks 4 Directors : Professionals/Experts 1 Director nominated by RBI 1 Director nominated by IDBI 1 Director nominated by ECGC Domestic 10 q OFFICES Offices: Overseas Offices:7 q Addis Ababa Dakar Dubai Durban London Singapore Washington D.C.

4 Operational Philosophy International Trade Financing Facilitating Promoting Through Variety of Financing Programmes Value Added Business Advisory Services Research and Analysis Catalyst for Financing Projects Products Services .

5 Financing Programmes Financing Programmes (Various Currencies) Export Credit Medium / Long Term - Import Credit Import Loan for capital goods - Loans for Exporting Units - Lines of Credit Buyer’s Credit Supplier’s Credit - Bulk Import Loan for Raw Materials - - Term Loans for expansion/ diversification/ new projects/ export product development/ export marketing/ research & development Term Loans for overseas equity investment Direct equity stake in Indian/ Overseas ventures of exporting companies Short Term - - Pre/Post Shipment Credit .

R&D financing. product development.6 Exim Bank’s Competitive Advantage q Comprehensive range of products and services for exporters. . Overseas Investment Financing etc. We can leverage on our international network. Foreign currency financing for SMEs. Competitive finance. q q q q q q q Special products like LOC. Exim Bank provides term loan for financing soft expenditure such as marketing. Lending in both rupee and foreign currency. Knowledge of exporters’ requirements International experience.

whichever is less) q Project Finance (Green Field / Brown Field) Production Equipment Finance Programme (PEFP) Import of Technology & Related Services Domestic Acquisitions of businesses/companies/brands Export Product Development/ Research & Development Long Term Working Capital Finance / General Corporate Finance Import Finance Programme (IFP) for non-exporting Companies.7 Term Loans Term Finance (For exporting companies – Criteria is minimum 10% of the turnover should be by way of exports on FOB basis or Rs. q q q q q q .5 crs exports of FOB basis.

8 Working Capital Finance Export Finance q Pre-shipment Credit Post Shipment Credit Buyers' Credit Suppliers' Credit [including deferred payment credit] Bills Discounting Export Receivables Financing Warehousing Finance Export Lines of Credit (Non-recourse finance) q q q q q q q General Working Capital Finance q Working Capital Term Loans Bulk Import Finance Programme q .

9 Overseas Investment Finance q Finance for Indian Company's equity participation in the overseas Joint Venture (JV)/ Wholly Owned Subsidiary (WOS) q Direct Finance (Term & Working Capital) to the overseas JV / WOS Finance (for equity/debt component) for acquisition of overseas businesses / companies including leveraged buy-outs including structured financing options q q Direct Equity by Exim Bank in the overseas JV/ WOS of an Indian Company .

49 bn. Ø Ø Ø Ø Ø . Total Lines – 136. Countries – 94 and Amt. BENEFITS Ø No recourse to Indian Exporters Exporters get payment on shipment Lines of Credit : A catalyst for trade promotion Enables import of Indian equipment and technology on deferred credit terms Direct Exposure on overseas borrowers An arrangement for financing a number of export contracts under one umbrella. USD 4. While Exim raises the resources and funds disbursement.10 Lines of Credit Programme Lines of Credit (LOCs) Exim’s own LOCs to economically strong developing countries and regional development banks At behest of GOI. concessional LOCs to developing countries in Asia/ Africa/ Latin America with a long-term perspective. GOI guarantee and provide interest equalisation support under India Development Initiative.

Morocco. Equatorial Guinea. Sudan. BOAD ü South & South-East Asia (US$ 880 mn) Cambodia.A. Mozambique. Malawi. Central American Bank for Economic Integration ü CIS (US$ 65 mn) Oceania (US$ 50 mn) Europe (US 20 mn) ü ü . Guinea. Vietnam ü West Asia (US$ 290 mn) Bank Markazi. Senegal. Banco Bradesco S. Nigeria. Egypt. Eritrea. Mauritius. Sierra Leone.11 Select Major Lines of Credit ü AFRICA (US$ 2. Kenya. Myanmar. Uniao De Bancos Brasileiros S. Togo. Afreximbank. Brazil. Ethiopia.A. Iranian Commercial Banks (13). Sri Lanka. Iran. Bancomext. CAF. DR Congo.4 bn) Gambia. Brazil. Rwanda.(UNIBANCO). Mexico. Nepal. Ghana. Syria ü LAC (US$ 168 mn) Suriname. EBID..

Over the past two decades. Consultancy services. CIS and Latin America. of Contracts : No. North Africa. Such projects have supplemented the efforts of the host country governments in achieving their developmental objectives. South & South East Asia. increasing number of contracts have been secured by Indian companies in West Asia. Projects Currently Under Execution with Exim Bank Support (as on 31st Mar. broadly categorised into Civil engineering construction projects.12 Project & Services Exports Promoting Project Exports Exports of projects and services. Turnkey projects. 2010) No. Sub Saharan Africa. of Countries : 235 Value of Contracts : US$ 17.73 billion : 46 38 No of Indian companies .

è Exim’s network of overseas offices play a proactive role. q Export Marketing Services Programme è Seeks to help Indian SME sector to establish their products overseas and enter new markets through Exim’s overseas offices and MOU partner network è No upfront fees. but operates on success-fee basis q Eximius Centres of Learning in Bangalore/ Pune/ Ahmedabad – for knowledge building & capacity creation for SMEs .13 Exim Bank and SMEs EMS & Skill Upgradation for SMEs q Exim Bank – Supporting exports from Rural Grassroots Enterprises è Export Marketing support given for finding international market for products of rural industries produced by SHGs / NGOs in different states.

14 Cluster Approach Clusters of Excellence q Exim Bank initiated a ‘Clusters of Excellence’ programme to assist small and medium sized companies in achieving international quality standards The programme aimed to assist SMEs to: ® q Achieve international quality certification Enhance their capability and acceptance in overseas markets Facilitate knowledge sharing with other companies in the cluster ® ® q Enabled companies to access international consultancy at low cost due to cluster approach Nearly 100 companies were assisted in a range of sectors including engineering goods q .

mushrooms. which is an IT initiative to promote knowledge-based agriculture enterprise.eximbankagro. Brought out following study reports.15 Agri Business Group q The Bank has put in place an ‘Agri Business Group’ è The Group looks for viable projects and export transactions in agriculture sector.in The Bank brings out a bi-monthly newsletter ‘Agri Export Advantage’ to facilitate information dissemination in 10 regional languages. è Honey. www. q The Bank has set up an agro-portal. è è è Organic Farming Plantation Sector Agro & Processed foods –Export Opportunities q q q Assisted a number of Small and Medium exporters in the Agro Sector covering following products. gherkins. in-house. Mango pulp.fresh & processed fruits & Vegetables .

macro economic issues relevant to international trade and investment ® Sector Studies assessing export potential. Hindi and 10 regional languages) Indo-China Newsletter (bilingual) Indo-Africa. transaction costs. etc. Bilateral Trade and Investment Studies. impact of exchange rates on exports. . International Trade Related Studies. Indo-Latin America and Indo-CIS Magazines (all bilingual) ® ® ® q Contribution to Public Policy formulation through inputs on WTO aspects.16 Research & Analysis Knowledge Building: Research Publications q Research Studies on products. sectors. ® ® q Exim Newsletters ® Export Advantage (bilingual) Agri Export Advantage (in English. countries.

USA ® Processed foods to Singapore & Italy Agarbathis to S. Some of Cos. assisted include : q q q q ® ® Ayurvedic Products to Hungary Tiger Prawns to a leading restaurant chain in S. but operates on success-fee basis Over 300 companies supported in various sectors.Africa Cotton fabrics to S. S. Africa. Africa and Singapore Natural Sandstone and Tiles to Hungary Lucknow Chikan Kurtas to Singapore Grapes and Pomegranates to Singapore ® ® ® ® ® ® . Africa Incense sticks to Singapore.17 Capacity Building for SMEs Export Marketing Services q Exim Bank has launched an ‘Export Marketing Services’ programme Seeks to help Indian SME sector to establish their products overseas and enter new markets through Exim’s overseas offices and institutional partner network Helps Indian SMEs in their export efforts by proactively assisting in locating overseas buyers/partners for their products/services No upfront fees.

Central and Eastern Europe. promissory notes or bills of exchange denominated in Dollars. demand guarantees. Latin America & the Caribbean.e. Central Asia. Yen or in other freely available convertible currencies acceptable to IFC. . IFC will provide guarantee facility to Exim Bank to cover such L/C confirmation and confirmation of other trade instruments The program currently covers 74 countries of IFC's operation and Exim Bank may confirm the L/Cs & other trade instruments issued by pre-approved banks for supporting India's exports to these countries. received by Indian exporters from pre-approved banks in the countries of IFC's operation. i. Middle East & North Africa as also other regions of Asia and Africa. Standby letters of credit.18 Innovative Programs for Empowering SMEs GLOBAL TRADE FINANCE PROGRAM (GTFP)) The program envisages confirmation of Letters of credit (L/Cs). Euro.

Mauritius q q q q Exim Bank of China .19 Institutional Linkages Multilateral Agencies q Trade & Invt. Promotion Agencies q Export Credit Agencies q World Bank ADB African Development Bank JETRO Netherlands Council for Trade Promotion Exim Bank Romania Czech Export Bank Hungarian Exim Bank JBIC US Exim Bank PT Bank Ekspor Indonesia q q q q q q Polish Agency for Foreign Investment q q EBRD MIGA IFC UNCTAD q q q q Board of Investment of Sri Lanka Board of Invt.

Exim Bank: Partner in Globalisation Technology Capital (Foreign Investment) Raw Materials Capital GoodsI q 20 Final Products Capital Goods Capital (Overseas Ventures) EX PO RT q q M P O R q Product Development Production Marketing Pre shipment Post shipment q q T TI DI VALU E AD ON q q .

21 Export & Import Statistic of NER: 2009-10 .

22 Major commodities of export from NER: 2009-10 .

23 Major commodities of import into NER: 2009-10 .

of seminars conducted at key centres in NER (Guwahati. mfg.24 Exim Bank in the North East Region q Exim Bank endeavours to play a role in promoting exports from the NER – through creating awareness about export potential to financing of exports and export-oriented units . APEDA. q Linkages with key financial institutions and organisations – SIDBI. Kohima. ornamental fish. tourist resort. bamboo flooring. NEDFi. BPO. Handicrafts. Gangtok ) Itanagar. export of Agar oil/perfumery. Export Oriented Food Processing Industry. in 2003.. ginger oil processing & pineapple slices. Export Procedure & Documentation. of handloom products. of refractories. mfg. Financed no. of IV fluids. of units in various sectors including: passion fruit processing. q . q – covering various sectors including: Export of Agricultural Products. Medicinal Plants. North East Handicrafts & Handlooms Development Corp. Shillong. mfg. Promotermember of Small Farmers Agri Business Consortium (SFAC). NABARD. stevia powder processing and floriculture export . cancer research institute & hospital. Entrepreneurship Development.covers the entire NER – 8 States No. mushroom processing. instant tea processing. mfg. UBI. of potato chips.Office in Guwahati estd.

Education & Healthcare Services Handicrafts and handlooms Floriculture Aromatic and medicinal products Plantations crops – Tea. Tourism. mainly organic products Spices – ginger.25 Export Potential of NE Region q Mineral based products Agricultural & allied products. turmeric etc. large cardamom. Rubber Bamboo based products q q q q q q q q q . Processed food products (niche products) Services exports – ITes. Deemed Exports.

Shonly Litting Chief Manager & Resident representative Email: shonly@eximbankindia.26 For any information and clarification.in Export-Import Bank of India 4th Floor.in eximgro@eximbankindia. G. Sanmati Plaza Near Sentinel Building.S. Please contact: Mr. Road Guwahati – 781 005 Tel: 0361-2462951/ 2450618 Fax: 0361-2462925 .

eximbankindia.in .27 THANK YOU Website www.

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