I

NTRODUCTI
ON
Export-
ImportBankofI ndia(EXIM Bank)i
saspeciali
zedfinanciali
nst
it
uti
on,whol
lyownedby
GovernmentofI ndia,
setupi n1982,forfi
nanci
ng,faci
li
tat
ingandpr omoti
ngforei
gntradeof
Indi
a.Incl
udingtheshar ecapit
alof`1,300cror
ereceivedduringtheyearfr
om Gover
nmentof
Indi
a,thepaidupcapi t
al asonMar ch31,2015,st
oodat`5, 059croreandtheNetWor t
hstood
at`9,902crore.Profi
taftert
axoft heBankfortheyear2014-15amount edto`726crore.

EXIM Bankext endsLi nesofCr edit(LOCs)t oover seasf i

nanci alinsti
tutions, regional
dev el
opmentbanks, sov ereigngov er nment sandot herent i
tiesov er
seas, toenabl ebuy ersin
thosecount riestoimpor tdev elopment alandi nfrastructurepr ojects,equi pment s,goodsand
serv i
cesf rom India,ondef err
edcr edi tter
ms.EXI M Bankhasl aidstrongemphasi son
enhanci ngpr ojectexpor ts,thef undi ngopt i
onsf orwhi chhav ebeenenhancedwi t
hintroducti
on
oftheBuy er'
sCr edi
t-National Expor tI nsuranceAccount( BC-NEI A)pr ogram.TheBank
facili
tatest wo-wayt echnol ogyt ransf erbyf inancingi mpor toft echnologyi ntoIndi a,and
i
nv estmentabr oadbyI ndiancompani esf orsetti
ngupj ointv entures,subsi diariesor
under takingov erseasacqui si
tions.Topr omot ehi -t
echexpor tsfrom Indi a,theBankhasa
l
endi ngpr ogr ammet of i
nancer esear chanddev elopment( R&D)act i
vit
iesofexpor t-
oriented
compani es.Dur i
ngt hey earended31stMar ch,2015, EXI M Banksanct i
onedl oansof`57, 684
crore, whiledisbursement samount edt o`38, 508cr ore.LoanAsset sst oodat`86, 953cr oreas
onMar ch31, 2015.

Dur i
ngt hey ear , theBanki ssuedI ndia’sfirstUSDdenomi natedGr eenbondswi t
ha
benchmar ksi zeofUS$500mi l
lion.Dur i
ngt hey ear ,anExpor tDev elopmentFund[ EDF]
facili
ty,aspeci al fund, est abl i
shedbyGoIundert heExi m BankActandadmi nisteredby
Exim Bank, tosanct ionl oansi nt hei nterestofint ernationaltradet owardsmeet ing
strategicobject iveswasputt ouse.Exi m Bankundert heGoI ’
s‘ActEastI niti
at i
v e’
under tookaMi ssi ont oCLMVcount ri
es, consequentt owhi chaPr ojectDev elopment
Companyi sbei ngsetup, tobef ol l
owedbyaPr ojectDev el
opmentandFaci litation
Framewor k.Exi m Bank, IL&FS, Af DBandSBIj ointlyf l
oatedaPr oj
ectDev elopment
Companyi nAf r ica, basedi nMaur it
ius.TheBankhasent eredi ntoaCooper at i
on
Agr eementonI nnov ationwi ththef ourmaj ordev elopmentBanksoft heBRI CS
count ri
eswhi chi sexpect edt opr omot ei ntra-
BRICScooper ationininnov ati
onf inancing.
TheBank, wi t
hi tsdi v ersepr ogrammes, cat erstodi f f
erentsegment sofexpor ter sand
theexpor tcy cle.TheBankpr ovidesassi stancei nhel pingIndianf i
rmsi nt heir
globalizati
onef fortsbyl ocat ingov erseasdi st
ributor (
s)/buy er(s)/par t
ner( s)f ortheir
product sandser vices.Exi m Bankal solay sspeci al emphasi sonenhanci ngexpor t
capabi li
ti
esandi nternat ional compet i
tivenessofI ndiancompani est hroughi tsv ar
ious
Adv isoryServ ices.

I
OBJECTI
VESANDFUNCTI
ONSOF
EXI
M BANK
1.Toensur
eandi
ntegr
atedandco-
ordi
nat
edsencount
eredbyexpor
ter
sinI
ndi
a.

2.Topayspeci
fi
cat
tent
iont
otheexpor
tsofcapi
tal
goods;

3.Expor
tpr
oject
ion

4.Tof
acil
it
ateandencour
agej
ointv
ent
uresandexpor
toft
echni
cal
ser
vicesandi
nter
nat
ional
andmerchantbanki
ng

5.Toext
endbuy
ers’
credi
tandl
i
nesofcr
edi
t;

6.Totapdomesticandforei
gnmar ketsf
orr
esour
cesf
orunder
taki
ngdev
elopmentand
fi
nanci
alact
ivi
ti
esintheexportsector
.

Thef
unct
ionsofExi
m Banki
ncl
ude:

(
a)Pl
anni
ng,
promot
inganddev
elopi
ngexpor
tsandi
mpor
ts;

(b)Pr
ovi
dingtechni
cal
,admini
str
ati
veandmanager
ial
assi
stancef
orpr
omot
ion,
management
andexpansi
onofexports;
and

(c)Under
taki
ngmarketandi
nvest
mentsurveysandt
echno-
economi
cst
udi
esr
elat
edt
o
devel
opmentofexport
sofgoodsandser
vices.

I
I
 ROLEANDFACI
LITI
ESOFEXI
M BANK
Export-
Impor tBankofI ndia(Exim Bank)wassetupbyanActoft hePar l
iament“ THEEXPORT-
IMPORTBANKOFI NDI AACT, 1981”f orpr ovidingf inancialassistancetoexpor tersand
i
mpor ters,andforfunctioningast hepr i
ncipal fi
nanci al i
nsti
tutionforco-ordinati
ngt hewor king
ofinsti
tuti
onsengagedi nf i
nancingexpor tandi mpor tofgoodsandser viceswithav i
ewt o
promot i
ngt hecountry’
si nter
nat i
onal tradeandf ormat tersconnect edtherewithori nci
dental
theret
o.Exim Bankhast wobr oadbusi nessst reams: one, t
het radi
tionalexportfinancetypicalof
exportcreditagenci
esar oundt hewor l
dandt wo, f
inancingofexpor tori
enteduni ts(export
capabili
tycreati
on),whichar enon- t
r aditi
onal forexpor tcreditagencies.Sinceincept i
on,Exim
Bankhasbeent hepr i
ncipal f
inancial i
nst i
tuti
oni nthecount ryforfi
nancingpr oj
ectexpor tsand
exportsondef err
edcr editterms.AsperMemor andum PEM ( MEMORANDUM OF
INSTRUCTI ONSONPROJECTEXPORTSANDSERVI CEEXPORTS)ofReser v
eBankofI ndia,the
foll
owingconst i
tut
epr ojectexpor t
s:i.Suppl yofgoods/equi pmentondef erredpay ment
termsii
.Civ
ilconstr
uctioncont ractsIndust ri
altur nkeypr ojectsiv.

Consul
tancy/ser vicescont ractsExim Bankext endsf undedandnon- fundedf aci
li
tiesf or
over
seasturnkeypr ojects,civi
lconst r
uct ioncont r
acts, t
echni
calandconsul t
ancyser vice
cont
ractsaswel lassuppl ies.•
Tur nkeyPr ojectsaret hosewhichinv ol
vesuppl yofequi pment
al
ongwi t
hrelatedser vi
ces, l
ikedesi gn, detail
edengi neeri
ng,ci
vilconstructi
on,erect i
onand
commissioningofpl antsandpowert ransmi ssion&di st
ri
buti
on•Const r
uctionProjectsi nvol
ve
ci
vil
works,steelstructuralwor ks,aswel lasassoci atedsupplyofconst ructi
onmat eri
al and
equi
pmentf orvariousinfrastructurepr ojects.

Technical andConsul t
ancySer vi
cecont racts,i
nv olvi
ngpr ovi
sionofknow- how,ski
lls,personnel
andtrainingar ecategori
sedasconsul tancypr ojects.Typicalexampl esofser v
icescont ract
s
are:
proj ectimplement at
ionservices,
managementcont racts,superv i
sionofer ect
ionofpl ants,
CAD/CAM sol ut
ionsinsof t
wareexports, f
inanceandaccount i
ngsy stems. • Suppl i
es:
Supplycont ractsinvol
vepr i
maril
yexpor tofcapi talgoodsandi ndust r
ialmanuf act
ur es.Typi
cal
exampl esofsuppl ycontractsare:supplyofst ainlesssteelslabsandf erro-chr
ome
manuf acturingequipment s,di
eselgenerator s,
pumpsandcompr essor s.

Exim Bank,
underpower sdel
egatedvi
dethePEM, provi
despost -
awardcl earanceforpr oj
ect
exportcont
ract
svalueduptoUSD100mi l
li
on.Pr
ojectexportcontr
actsv aluedabov eUSD100
mill
ionneedtobeprovidedpost-
awardclear
ancebyt hei
nter-
insti
tuti
onal WorkingGr oup.The
WorkingGroupisasingle-
windowclear
ancemechani sm,compr i
singExim Bankast he
convenorandnodalagency,RBI–Forei
gnExchangeDepar tmentandExpor tCredi
tGuar ant
ee

Corporati
onofIndiaLtd.[
ECGC] .I
nthecaseofverylargevalueproj
ects,of
fi
cial
sofMinist
ryof
Finance,Mini
str
yofCommer ceandIndustr
yandMi nistr
yofExternalAff
air
s,Governmentof
India,
areinvi
tedtoparti
cipateintheWorkingGroupMeet ings.Inordertoobtai
nimmediate
clari
fi
cat
ionsforspeedycl earanceofpr
oposalsbytheWor ki
ngGroup,theexport
ersconcer
ned

I
II
andthei rbankersar eal soassoci at edwi ththemeet i
ngs.Wi ththesameobj ective,par ti
ci pation
ofthemai nsub-suppl i
er s, sub- cont ractorsorot herassoci atesandt heirbanker si nsuch
meetingsi salsoencour aged, par ticularlyinr espectofpr oposalsf orhi
ghv aluecont racts.Exi m
Bankal soplayst her oleofaf inanci erandpr ov i
desf undedandnon- fundedsuppor tf orpr oject
exportcont r
actsofI ndianEnt ities.I nadditiont opr ojectexpor t
s,Exim Bankal soext endsf und-
basedandnon- fund- basedf aci li
tiest odeemedexpor tcontr
actsasdef i
nedi nFor eignTr ade
Poli
cyofGOI ,e.
g. ,-
secur edunderf undingf rom Mul t
ilater
alFundi ngAgenciesl i
ket heWor l
d
Bank,Asi anDev elopmentBank, et c.;contractssecur edunderI nternati
onalCompet itiveBi dding;
contr
act sunderwhi chpay ment sar er ecei
v edi nforeigncur rency.Exi m Bankof ferst he
fol
lowingExpor tCr editf aci l
i
ties, whi chcanbeav ai
ledofbyI ndiancompani es, commer cial
banksandov erseasent ities.

I
V
BUSI
NESSOFTHEEXI
M BANK
TheExim BankActPr ovi
dess" TheExi
m Bankmaygr ant,i
norout si
deIndia,loansand
advances,byitsel
forinpart
ici
pati
onwit
hanybankorf i
nanci
alinsti
tut
ion,whetheri
norout side
Indi
a,forthepurposesofexportori
mport,
andshal lalsofunct
ionast hepr i
ncipalf
inancial
i
nstit
utionforco-or
dinat
ingtheworki
ngofinst
it
utionsengagedi nf i
nancingoft heexportand
i
mpor tinsuchmannerasi tmaydeem appropri
ate".

"TheExim Bankmayal
socar
ryonandt
ransactal
loranyoft
hef
oll
owi
ngki
ndsof
businesses,
namel
ys

(a)gr
ant
ingl
oansandadvancestoascheduledbankoranyotherbankorfi
nanci
ali
nsti
tut
ion
noti
fi
edi
ntheOffi
cial
Gazett
e,bytheCentr
alGovernment,i
nthi
sbehalf
,bywayofref
inanceof
l
oansandadvancesgrant
edbyitf
orpurposesofexportori
mpart;

(b)underwri
ti
ngthei
ssueofst
ocks,
shar
es,
bondsordebent
uresofanycompanyengagedi
n
exportorimport
;

(c)i
ssuingbi
dbondsorguaranteesinorout
sideI
ndiabyi
tsel
fori
npar
ti
cipat
ionwi
thany
government,
bankorf
inanci
alinsti
tut
ioni
noroutsi
deIndi
a?

(d)accept
ing,coll
ecti
ng,discount
ing,
re-di
scount
ing,
purchasi
ng,sell
i
ngornegot i
ati
nginor
outsi
deIndia,
bil
lsofexchangeorpr omissorynot
esari
singoutoftransacti
onsrel
ati
ngtoexpor
t
orimportandgr ant
ingofloansandadv ancesinoroutsi
deIndi
a,againstsuchbil
lsor
promissor
ynot es?

(e)granti
ng,
openi
ng,i
ssui
ng,
confi
rmingorendorsi
ngl
ett
ersofcr
edi
tandnegot
iat
ingor
coll
ectingbi
l
lsandot
herdocumentsdrawnther
eunder
?

(f
)under
taki
nganyt r
ansacti
oninvol
vingacombinati
onofgov
ernmentt
c^gov
ernmentand
commercial
credi
tforpurposesofexportori
mport?

(g)grant
ingl
inesofcr
edi
ttothegovernmentofanyf
orei
gnst
ateoranyf
inanci
ali
nst
it
uti
onor
personoutsi
deIndi
a,f
orpurposesofexpor
torimpor
t?

(
h)gr
ant
ingl
oansandadv
ancesout
sideI
ndi
a,f
oranyI
ndi
anj
ointv
ent
ure?

(
i)f
inanci
ngexpor
tori
mpor
tofmachi
ner
yandequi
pmentonl
easebasi
s?

(j
)subscr
ibi
ngto,
orinv
esti
ngin,
orpurchasi
ngofstocks,
shares,
bondsordebent
uresofany
devel
opmentbankorExpor
t-
ImportBankofanycountr
youtsi
deIndi
a?

(k)buyi
ngorsel1i
ngof ,orent
eri
ngint
osuchotherdeal
i
ngsi
nfor
eignexchange,
asmaybe
necessaryf
orthedischargeofit
sfunct
ions?

V
(
l)openi
ngofanyaccounti
nanybanki noroutsi
deIndi
aormaki
ngofanyagencyar
rangement
wit
h,oract
ingasanagentorcor
respondentofanybankorot
heri
nst
it
uti
oninorout
sideIndi
a?

(
m)t
ransf
err
ing,
forconsi
der
ati
on,
anyi
nst
rumentr
elat
ingt
oloansandadv
ancesgr
ant
edbyi
t?

(
n)i
ssui
ngpar
ti
cipat
ioncer
ti
fi
cat
es?

(m)subscr
ibi
ngto,orinv
est
ingin,
orpurchasingofst
acks,
shar
es,bondsordebent
urest
othe
ext
entnecessar
yfortheenf
orcementofalien,pl
edgeorot
hercont
ract
ualr
ight
?

(p)under
taki
ngand-
fi
nanci
ngofresear
chsur
veys,t
echno-
economicoranyot
herst
udyi
n
connecti
onwitht
hepr
omotionanddevel
opmentofi
nter
nati
onalt
rade?

(
q)pr
ovi
dingt
echni
cal
,admi
nist
rat
iveandf
inanci
alassi
stanceofanyki
ndf
orexpor
tori
mpor
t;

(
r)pl
anni
ng,
promot
ing,
dev
elopi
ngandf
inanci
ngexpor
t-
ori
ent
edconcer
ns;
cv

(
s)f
ormi
ngorconduct
ingsubsi
diar
iesf
orcar
ryi
ngouti
tsf
unct
ions?

(t
)act
ingasagentoft
heCentr
alBovernment
,anyStat
eGovernment
,theReserveBank,
the
Bevel
opmentBankoranyot
herpersonastheCent
ralBov
ernmentmayaut hor
ise?

VI
 OPERATI
ONSOFTHEEXI
M BANK
Exim Bankextendsfinancetoexpor tersofcapitalandmanuf act uredgoods, expor t
ersof
softwareandconsultancyser v
ices,andtoov erseasjointventuresandt ur
n-key/construct
ion
project
sabroad.Eli
giblegoodsandser vi
cescanat t
ractdeferr
edpay mentf aci
lit
yatpost -
shipmentstage.Proj
ectex porter
scanal soav ailofguaranteesuppor tandmul t
i-curr
ency
fi
nancingfacil
it
y.Term Loansar ealsoextendedt opr oj
ectslocat ed,withi
nIndia,inexportzones.
Exim Bankfinanci
ngcan, i
frequired,supplementwor kingcapita"!financeextendedby
commer cialbanks,
atpr e-
shipmentst age.

Thepresentfocusoft heExim Banki sonmedi um ter

m andl ongterm credit
s.Whenev erabuy er
ofgoodsorser v
ices,exportedfrom Indi
a,isall
owedt odef erpayment, anexpor tcreditari
ses.
Deferr
edexportcreditisavail
ableforthesaleofmachi nery,manuf act
ur edgoodsandr el
ated
servi
ces.Suchcreditmaybei nt heform of"Suppl
ier'
sCr edit
"or "
Buyer'
sCr edit
".Supplier'
s
Credi
tariseswhenanI ndi
anexpor t
erextendscreditt
ot heov er
seasbuy erandf inanceshimsel f
thr
ought heExi
m Bank.Def erredexportcreditt
akesthef orm ofBuy er
'scredit,whent heExi m
Bankextendscreditdirect
lytothebuy er
.

VI
I
EXI
M BANK'
SPROGRAMMESOF
FI
NANCING
TheExim Ei ankoper at
esthreebr oadpr ogr
ammesoff inanci
ng, vi
s.,loans,re-discounti
ngand
guarantees.Thr oughav ar
ietyoff inancingpackages, t
heBankpr omot esIndianexpor ts.
Thir
teenlendi ngprogrammes, oper atedbytheBank, serveasv ehicl
esf ordeliveryoffinancet
o
fi
veusergr oups, i
nsuppor tofIndianexpor ts.Indianexpor t
ers,overseasbuy ers,Government
andfinancialinsti
tuti
onsov er
seas, inter
nati
onal banks,andcommer cialbanksi nIndiaare
majorusergr oups.Appendi xXIIlistsoutExi m Bank'sf i
nancingpr ogrammes, users,usesand
rat
eofi nter
esti nrespectofeachoft heprogrammes.

(
A)LOANSTOI
NDI
ANCOMPANI
ES

(
1)DI
RECTFI
NANCI
ALASSI
STANCETOEXPORTERS:

Fundsarepr ovi
ded,ondeferredpaymentter ms, toIndi
anexpor t
ersofel i
gibl
egoodsand
servi
ces,whichenablestheexportertoextenddef erredcr
edittoov erseasbuyer.Commer cial
bankspartici
pateinthi
sprogrammedi r
ectl
yorundert heRiskSy ndicati
onfacil
it
y.Goadseligibl
e
forfi
nancingareli
stedinAppendixV, i
ll
ustrati
v el
y.GoodsinGr oupA, compri
singofcapit
al and
producergoods,areeli
gibl
eforterm credi
tev enbey ondtwoy ears;Gr oupBgoods, comprising
ofconsumerdur ablesandindustr
ialmanuf acturesnormall
yexpor tedoncashbasi s,
areeligibl
e
forcredi
tuptoamaxi mum per i
odoftwoy ear s.

(
2)CONSULTANCYANDTECHNOLOGYSERVI
CES:

Indi
ancompani escanav ailt
hemsel vesofExim Bantusf i
nanci alfaci
lit
y,againstdeferredcredi
t
extendedt oourseasbuyersofIndianconsult
ancy,technol ogyandot herservices.Thiswould
helpinenlargi
ngt hemarketforIndianconsul
tancyex ports.I
ndi an.consul t
ants,having
corporatestat
usorot her
wise,whohav esecuredacont ractf orexportofser vices,wherein
deferr
edpay mentt er
msneedt obeof f
eredtotheclient,canut ili
sethef aci
li
ty.Technologyand
consultancyservi
cesincl
ude:

(
a)providi
ngpersonnel(
incl
udi
ngski
l
ledorunski
l
ledwor
kmenandper
sonsf
orr
ender
ing
t
echnicalorot
herservi
ces);

(
b)t
ransf
eroft
echnol
ogy
,know-
howexper
ti
seorot
herski
l
ls;

(
c)f
urni
shi
nganyi
nfor
mat
ion,
blue-
pri
nts,
plansoradv
ices.

(d)anyotheract
ivi
tyconsi
deredaccept
ablebytheExim Bank.
Thecredi
tmaybeext endedtot
he
Indi
ancompanyei t
herbytheExim Bankinpar
ti
cipat
ionwithcommer ci
albanksordir
ectl
yby
commer ci
albanks,whocouldseekrefi
nancefr
om theExim Bank.

VI
II
(
3)PRE-
SHI
PMENTCREDI
TS

(
i)Theprogrammei savail
ableforcompaniesexecutingexpor
tcontr
actsinvol
vingcycl
eti
me
(
producti
onperiod)
,exceedingsixmonths.Thefacil
i
t yal
soenablesprov
isionofrupee
mobil
isat
ionexpensesforconstruct
ion/
turn-
keyprojectexpor
ter
s.

(i
i)I
nbartertrade,t
heremi ghtbenoneedf orf
inancing,
buttherecoul
d,yet
,befinanci
ngneedsi
f
themanuf actur
ingcycl
ewasbey ondsixmonths.Suchat ransact
ionhavi
ngreceivedthe
necessar
yr egulat
oryapprovals,t
hepre-shi
pmentfinanci
ngr equi
ri
ngcredi
tbeyondsixmonths,
couldbeel i
gibl
eforfi
nancingf r
om Exi
m Bank.

(i
ii
)Counterpurchase,compensati
onsandbuy-
backtr
ansact
ionscoul
drequi
refi
nanci
ngwhere,
again,
ifdomesticr
egulator
yapproval
swerefor
thcomi
ng,Exi
m Bankcoul
dofferapackageof
rel
evantfinanci
ngtotheparti
es.

(
4)FACI
LITI
ESFOREXPORTORI
ENTEDUNI
TS

TheBankpr ov i
dest erm 1oans/ def
erredpay mentguar ant eef orprojectcost-financingofuni ts
registeredas100per centexpor t-
ori
enteduni t
sanduni tsinf reetradezones; thef inancei s
prov i
dedatconcessi v erates, withav i
ewt oenhancet heircompet it
ivenessinov er
seas
mar ket s.
Theexpor tor ienteduni tsseekingf inancial assistancewi l
lneedt oest abli
sht echni cal
,
economi candf inancial vi
abi li
tyoftheirprojects.Speci alemphasi swi l
lbelaidonmar ketabili
ty
ofthei rproduct sinf oreigncount ri
es,whi l
edet ermi ningpr ojectv i
abili
ty.TheBank' sassi stance
willbeav ai
lablef oracqui sitionofland, buil
ding,plantandmachi neryandot hermi scellaneous
fi
xedasset sal ongwi thr el
at edser vi
ces, marginmoneyf orwor ki
ngcapi talandpr eli
mi naryand
pre-oper ati
veexpenses?al sof orsett
ingupnewpr oject sorf orexpansi on/diversif
icationof
existi
ngpr ojects.

(
5)FACI
LITI
ESFORDEEMEDEXPORTS:

"DeemedExpor ts"ar
eel i
gibl
e,forsuppor tundertheBank'
svar i
ousfinancingprogrammes.Exi
m
Bank'sexportfi
nancingfacil
it
iesincludepost-shi
pmentdeferredcredit,br
idgefinanci
ngi
n
forei
gncurrencyforprojectexports,termloansforunit
sinFree-Tr
adeZones, and100percent
Export-
Ori
entedUni t
s,rupeeloansf or-worki
ngcapital
,i
ssueofguar antees.

"DeemedExpor ts"occuri ncaseofspecifi

edt ransactionswi t
hi nIndia,whi chresultinforeign
exchangeear ningsor- for ei
gnexchangesav ings.Mi nistr
yofCommer ce, SovernmentofI ndia,
determinestheel i
gibili
tyoft ransact
ions,whichshoul dbet reatedasdeemedexpor ts.Thesear e
published,fr
om t i
met ot i
me, intheI
mpor tandExpor tPolicyBook( Vol umeI ).Ani l
l
ustrativeli
st
ofdeemedexpor t
si sgiv eninAppendixXIII
.Deemedexpor tsinv ol
vingsuppl yofI ndiancapi t
al
goodsandot hereligibl
egoodscanav ail
ofExi m Bank' sdeferredcr editfacil
it
y .
Exim Bankcan
extendcr edi
teitherthrought hesuppli
erordirectlyt
ot hebuyeri nIndia.Intermedi ati
ngbanks/
i
nst i
tuti
onscanal soav ailofrefi
nancefacil
it
yf rom Exim Bank, coveringt hefullvalueoft heterm
credit.Worki
ngcapi t
al requir
ement sareordinaril
ymetbycommer cialbanks.Exi m Bankmay ,
in

I
X
cert
ainci
rcumstances,parti
cipat
e'wi t
hcommer cialbanksinextendingrupeeloans,forbri
dging
cash-f
lowdefi
cit
sofpr oj
ects/supplycont racts,especiall
ythoseinvolv
inglongcycletimefrom
star
tuptocompleti
on.Otherfacil
i
tiesav ail
ablef r
om Exi m Bank,whichcanalsobeconsi der
ed
fordeemedexport,i
ncludeissueofguar antees,andbr idgefi
nancinginforei
gncurrency.These
faci
li
ti
esarenormall
yav ai
ledbypr ojectexpor ters.

(
6)OVERSEASI
NVESTMENTFI
NANOI
NSs

TheExim Bankprovi
desf i
nancetoIndi
anpr omotersofoverseasjoi
ntventur
esfort
hei requi
ty
i
nv est
mentbywayofcapi tal
isat
ionofproceedsofex por
tsinthefor
ofplantandmachi nery,
techni
calknow-how,etc.
,orcapi
tali
sat
ionofearningssuchasr oy
alt
y,managementf ees.The
Bankalsoprovi
desfinanceforequit
ycontri
buti
oni ncash,i
fthegovernmentapprov
al provi
des
forsuchcashremitt
ances.

X
POLI
CIESOFEXI
M BANK
 "
KnowYourCust
omer
"duedi
l
igence

EXI
M Bankhasestabli
shedduedili
gencestandardsfori
tsguar
anteedandinsur
edlender
par
tner
sandpart
icipant
s,andrequi
resEXI M Bank'
sguar
anteedandinsur
edlender
sto
i
mplement"
knowy ourcustomer"pract
ices.

 Co-
Financi
ng

Tof aci
li
tatefinancingwi thotherexpor tcredi
tagencies(ECAs) ,EXI
M Banki sact iv
ely
establi
shing"One- Stop-Shop"co- f
inancingfacil
it
ies."
One-Stop-Shop"arrangement sal l
ow
productsandser v
icesf rom two( ormor e)countri
estobenef i
tfrom asingleECAf inanci
ng
package.Wi thoutco- fi
nancing,thepartieswoul dhavetomakesepar at
ef inancing
arrangement switht wo( ormor e)ECAst oensuresupportforexportsfr
om v ar
iouscount ri
es.
Thecount rywi t
hthel argestshar eofthesour ci
ngand/ ort
hel ocati
onoft hemai ncontract
or
willgeneral
lydetermi newhichECAl eadst hetransacti
on.

 Cont
ent

EXIM Bank'smissionistosuppor
tU.S.jobst
hroughexpor
ts.Accor
dingl
y,t
her
earef
orei
gn
contentel
igibi
l
itycri
ter
iaandli
mitat
ionsonthelevel
offor
eigncont
entthatmaybei
ncl
udedi
n
EXIM Bank'sfi
nancingpackage.

 Economi
cImpact

Thebasi sf orEXIM Bank' sEconomi cImpactPr ocedur esisfoundi nitsChar t

er.Congr ess
requiresEXI M Bankt oassesswhet hertheextensionofEXI M Bankf i
nancingsuppor tisl i
kel
yt o
causesubst anti
alinjur
yt oU. S.industr
yorwoul dresultinthepr oducti
onofsubst antiall
yt he
samepr oductthati sthesubj ectofspeci fi
edtrademeasur es.Ifatransactionisdeemedby
EXIM Bankt omeett helegislati
velyspecifi
edst andards,theneconomi cimpactcanbet hebasis
fordenial ofEXIM Banksuppor t.Thepur posesofEXI M Bank'sEconomi cImpactPr ocedur es
are:1)toensur et hatalltr
ansact i
onsarescr eenedf oreconomi cimpacti mplicati
ons; 2)to
i
dent i
fythoset ransactionst hatar esubjecttoapplicabletrademeasur esorthatposear i
skof
substantialinj
uryt otheU. S.economy ;and3)t oputonl ythosecasest hatrequir
efurther
economi ci mpactanal ysisthr oughamor eex t
ensivepr ocessthatisfair,consist
ent,andpubl icl
y
transparent.

 EXI
M Bankandt
heEnv
ironment

EXIM Bank'
sCharteraut
horizestheBoar dofDi
rect
orstogr antorwit
hholdfi
nanci
ngsupport
aft
ertaki
ngintoaccountthebenef i
cial
andadverseenvir
onment alef
fect
sofproposed
tr
ansacti
ons.EXI
M Bank'sobj ect
iveistomaint
ainU.S.exporter
s'competi
ti
venessi
ntheglobal

XI
mar ketpl
acewhi l
eensuri
ngt hattheproj
ectsitsupportsareenvironmental
lyresponsibl
e.
EnvironmentalandSocialDueDi li
genceProceduresandGui deli
neshav ebeenadopt edwhich
setforthEXIM Bank'
senv i
ronment alobj
ectiv
es.ThesePr oceduresandGuidelinesident
if
ythe
proceduresthattheEngineeringandEnvironmentDivisi
onwi l
luseandt hestandardsagainst
whicht heDivi
sionwil
levaluatetheenvir
onment alef
fectsofprojects.

 For
eignCor
ruptPr
act
icesandOt
herAnt
i-
bri
ber
yMeasur
es

U.S.f
ir
msandi ndividualsseeki
ngtodobusi nessi nf or eignmar ketsmustbef amiliarwit
ht he
Forei
gnCor ruptPr acticesActof1977( "
FCPA" ),15U. S.C.§§78dd- 1,etseq.,which, i
ngener al
,
prohi
bitscorruptpay mentstoforei
gnoffici
alsfort hepur poseofobt aini
ngorkeepi ngbusiness.
Theant i
bri
ber yprov i
sionsoftheFCPAmakei tunlawf ul foraU.S.per son,andcer tainfor
eign
i
ssuersofsecur i
ties,tomakeacor ruptpaymentt oaf oreignofficialforthepur poseof
obtai
ningorr etainingbusinessfororwith,ordirectingbusi nesst o,anyper son.Theyal soappl y
tofor
eignfir
msandper sonswhot akeanyacti nfur ther anceofsuchacor ruptpay mentwhi l
ein
theUnitedStat es.

 Local
Cost

WhenEXI M Bankpr ovi

desmedium-orl ong-term guarantee,l
oan,ori nsur
ancesuppor tf
orU.S.
export
sforforeignproj
ects,
itmayal sopr ov i
delocal costsupport.Localcostsarethoseproj
ect
-r
elat
edcostsf orgoodsandservicesi ncurredinthebuy er'
scount ry.EXIM Bankcansupportup
to30%oft hevalueoftheU.Sexpor t
sf orl
ocallyorigi
natedand/ ormanuf actur
edgoodsand
servi
cessubjecttothefol
lowingavailabili
tyandel i
gibil
it
yguidel
ines.

 Mi
l
itar
y

EXIM Bankisprohibitedbyl awf r

om f i
nanci
ngdef ensearti
clesanddefenseservi
ces.Indef
ini
ng
whatisa" def
ensear ticl
e"or"defenseser vi
ce",EXIM Bankusescrit
eri
abasedont heidenti
tyof
theforei
gnend-user,thenat ureoft heit
em, andtheuset owhichtheitem wi
ll
beput .I
fthe
i
temsar esoldtoami lit
aryorganizati
onordesi gnedprimari
lyformil
it
aryuse,t
heyar e
presumedt obedef ensear t
iclesunlessprov enother
wise.

 Secur
it
yFor
ces

EXIM Bankcansupportexpor
tst ofor
eignnon-mi
li
tarysecuri
tyforcesgi
venextr
aadmi nist
rat
ive
rev
iew.Suchsecuri
tyfor
cesincludepri
v at
esecur
it
yser v
ices(suchassecurit
yguards),aswell
asnon-mil
it
arygovernmentsecurit
yforcessuchaslocalpol
ice,
transpor
tat
ionpoli
ce,orfeder
al
poli
ce.

XI
I
  Non-
discr
imi
nat
iononBasi
sofI
ndust
ry,
Sect
ororBusi
ness

Inaccordancewi t
hSecti
on2( k)oft
heBank’sChar t
er,exceptasotherwi
seprovi
dedinthe
Charter
,theBankmaynot( a)denyanappli
cati
onf orfi
nancingbasedsolel
yontheindust
ry,
sectororbusinesstheappli
cati
onconcerns,or(b)promulgateorimplementpol
ici
esthat
discr
iminateagainstanappli
cati
onbasedsolelyonthei ndust
ry,
sectororbusi
nessthati
t
concerns.

 Nucl
ear

TheGui delinesAppl icabl etoPr ojectsi ntheNucl earSect orareani mpor tantsuppl ementt othe
broaderEnv i
ronment alandSoci alDueDi li
gencePr ocedur esandGui delinesandar esetf ort
hin
AnnexA- 3oft heGui delines.Thesespeci alGuideli
nesar ei nt
endedt oaddr essthepar t
icular
envir
onment al consi derationsassoci atedwi ththesaf econst ructi
onandoper ati
onofpr oject
sin
thenuclearsect or,andt heyincor porat ethemaj orheal t
handsaf etyst andar ds,guidel i
nesand
recommendedpr ocedur esestabl ishedbyt heInternati
onal Atomi cEner gyAgencyf or
commer cialnucl earpr ojects.Inaddi tion,EXI M Bank'sfi
nanci alsuppor tf ortheex por tofnuclear
equipment ,component sand/ ormat erialscanonl yproceedpur suanttot heissuanceof
appli
cabl eexpor tlicensesbyt heU. S.Nucl earRegul atoryCommi ssion, oranaut horizationby
theU.S.Depar tmentofEner gyf ort het ransferofnucleart echnology, i
naccor dancewi tht he
AtomicEner gyAct ,asamended.

 U.
S.Fl
agShi
ppi
ngRequi
rement
s

EXIM Bank'sshippingrequi
rementsarebasedonPubl i
cResoluti
on17oft he73r
dCongr ess(PR
-17)concerningU.S.fl
agshippingofcert
ainU.S.gover
nmentagencysuppor t
edexportcargos.
ShippingonU. S.fl
agvessel
si srequi
redfordi
rectl
oans(regar
dlessofter
m oramount )
,and
guar ant
eesinexcessof$20, 000,
000(excludi
ngEXIM BankExposureFee)orwit
har epayment
periodgreaterthan7years.

 UsedEqui
pment

Equipmentthathasbeenpreviousl
yownedorpl
acedintoserv
iceisgener
all
yeli
giblefor
supportunderEXIM Bank'
sloan,guar
ant
eeandi
nsuranceprograms,prov
idedcer
t ai
ncri
ter
ia
aremet .

XI
II
THEMAJORSERVI
CESEXTENDEDBY
EXI
M BANKFORPROMOTI
NG
EXPORTSARE
i
]Itpr
ovi
desi
nformati
onandsuppor
tser
vicestoI
ndiancompani
estohelpi
mpr
ovet
hei
r
pr
ospect
sforsecur
ingbusi
nessi
nmulti
l
ateral
agenciesf
undedpr
oject
s.

Theseser
vicesi
ncl
ude:

a.Di
ssemi
nat
ingbusi
nessoppor
tuni
ti
esi
nfundedpr
oject
s

b.Pr
ovi
dingdet
ail
edi
nfor
mat
iononpr
oject
sofi
nter
est

c.I
nfor
mingonpr
ocur
ementgui
del
i
nes,
pol
i
cies,
pract
icesofmul
ti
lat
eral
agenci
es

d.Assi
sti
ngwi
thr
egi
str
ati
onwi
thmul
ti
lat
eral
agenci
es

e.Adv
isi
ngI
ndi
ancompani
esonpr
epar
ati
onofexpr
essi
onofI
nter
est
,capabi
l
itypr
ofi
l
e,et
c.

f
.Int
erv
eni
ngi
nbi
ds

i
i]I
nor dert
opromoteI
ndianconsul
tancy
,theExim Bankhastie-
upswithanumberof
i
nternati
onalor
gani
zat
ions,
suchasIFC,Easter
nandSout her
nAf r
icanTradeandDev
elopment
Bank,etc.

i
ii
]Thebankalsoser
vesasaconsul
tantt
ovar
iousdev
elopi
ngcount
ri
esf
orpr
omot
ingexpor
ts
andexpor
tsfi
nance.

i
v ]Thebankhel psinknowl edge-
buil
dingbywayofconduct ingseminar
s,workshops,and
car r
yingoutresearchstudiesonproject
s,sectors,countr
ies,andmacroeconomicissues
relevanttoi
nternationalt
radeandinvestment.Thebankhasconduct edsector-
specifi
cstudi
es
foridenti
fyi
ngmar ketpotentialf
orcomput ersoftware,el
ectri
ccomponents,chemicals,
fl
or i
cult
ure,machinet ool
s,pharmaceuti
cals,medicinalpl
ants,spor
tsgoods,andfi
nancial
ser v
ices.

v
.]Thebankgathersanddisseminat
esinf
ormati
ononexport
ers/
importer
s,industr
y/market
r
eport
s,tr
aderegulati
onsandlaws,count
ryr
eport
s,i
nter
nat
ional
quali
tystandards,et
c.,
soas
t
ofacil
i
tateexpor
ters.

XI
V
RESEARCHESANDANALYSI
S
Exim Bank’sResear ch&Anal ysi
sGroup( RAG)of fersav astrangeofresearchpr oducts.The
Bank’st eam ofexper i
encedeconomi stsandst rat
egi stsprovi
deinsi
ghtsonaspect sof
i
nternat i
onaleconomi cs,tradeandinvestmentt hroughqual it
ati
veandquant i
tativeresearch
techniques.RAGmoni torst hegl
obaltrendsinthewor ldanddomest i
ceconomi esandt he
i
mpactoft hesetrends, especial
lyonIndiaandot herdev elopi
ngeconomi es.RAGcat erstothe
const i
tuent
swi t
hint heBank, aswellast othoseext ernaltotheBanksuchasGov ernment ,
RBI,
expor t
ers/i
mpor t
ers, t
rade&i ndustr
yassoci at
ions,ext er
nalcredi
tagencies,academi c
i
nstituti
onsandr esear chers.

Theresearchwor kcarr
iedoutintheGroupunderthebroadclassi
fi
cati
onofr egi
onal
,sect
oral
andpolicyrel
atedstudi
es,arepubli
shedinthef
or m ofOccasi
onalPapers,
Wor ki
ngPapers,
Books,etc.Theseresearchstudi
espri
mar i
l
yenvisageident
ify
ingavenuesforenhanci
ngIndi
a'
s
i
nter
nationalengagement

.Thegroupalsoundertakescount
ryprofi
les,whi
chassesst
heeconomic,pol
iti
cal,
curr
encyand
credi
tri
sksinvol
ved,al
ongwi t
htheexportopport
uni
tiesi
nthecount
ryconcerned.Fur
thert
he
profi
l
esprovideshor
t-t
o-medium t
erm economicoutl
ookofacountr
y,i
ndicat
ingtheeconomic
ri
skinvol
vedindoingbusinesswit
hcountr y
.

Asapar tofthesuppor tservicesandwi thanobj ect ivetoprov idecont empor aryinf or

mat i
onto
Indiant r
ader sandi nv estors,thegr oupdi sseminat esi nfor
mat iononexpor topportuniti
esand
highli
ght sdev elopment sthathav eabear ingonI ndi anexports, throughitsquar terl
ybul l
eti
n,
Eximius: Expor tAdv antage.Thenewsl ettercompr isesofr egional andindust r
yout looks,Bank’
s
activi
ties,oppor tuni
tiesi nmul ti
lateralfundedpr oject sandcont ractawar ds,revi
ewonsel ect
tradedcur renciesandcount ri
es, andasect i
onont hehappeni ngsdur i
ngt hequar ter.The
newsl etterisaf reepubl icati
on, effect
ivelydist
ribut edt oawidenet workofschol ars,
economi sts,i
nst i
tut
ions, Gov ernmentofI ndiaoffices, andexpor tpromot ingorgani sati
ons.

TheBankal sobr ingsoutabi -monthlypublicati

ont i
tl
ed‘ Agri ExportAdvantage’inEngli
sh, Hindi
and10r egi
onal l
anguages( Assamese, Bengal i
,Gujarati,Kannada, Marathi,Mal
ay al
am, Oriya,
Punj abi
,Tami l
, andTelugu) .Thenewsl et t
erprov i
desst akehol der
sofIndianagribusinesswi th
updat esongl obal agri
-envi
r onmentandmar kets,r
esear chr eportsonagri-commodi ti
es,
i
nt ernat
ional i
ssuesr el
atedt oagri
-business,prospect i
vear easofagr i
business,agri
cultural
tradeandt radepol ici
es,regul at
oryissuesi nint
ernational t
rade, WTOGov ernmentschemesand
assistance,latestinter
national newsbr iefandBank' sact i
viti
est opromot eagri
-exportfrom
India.

XV
 CONCLUSI
ON
Faci li
tiesAv ailablet oExpor tersandI mpor tersbybankher ethesomef acilit
atesf orexpor ter
whi chIst udy "Expor t
ersar epr ov i
dedt i
mel yandadequat ecredi ttomeett heexpor ts
commi t ment s"Expor t
ersar eal l
owedpr eandpost -
shipmentcr editatcompet i
tiveinter estrates"
Expor tCr editismadeav ailablebot hinI ndianRupeeandFor eignCur rencyaswel l"All eligi
ble
expor tersar eissuedGOLDCARDHOLDERst atus.Inaddi ti
ont obet tert ermsofcr edit"an
addi ti
onal i
npr i
nci pleexpor tcredi tstandby ,l
imitof20%i ssanct i
onedt oGol dcar dhol der
Expor tersforaper iodof3y earst omeett heirer gentcreditneedsf orexecut tingsuddenexpor t
order s"'GOLDCARDHOLDERExpor t
er srequest sar epr ocessedqui cklywi thin25day s/ 15day s
and7day sf orf reshappl icat i
ons/r enewal sofl imitandadhocl i
mits"r espect ively"'
GOLD
CARDHOLDERexpor t
ersar egi venpr ef erencei ndisbursal offor ei
gncur rencyl oansunder
PCFC.Thenf acilit
iespr ovidef ori mpor terbybankwhi char estudy ,Bankpr ovidei mpor tloanat
attractiveratest oimpor t
er sofi mpor tedi nputsandcapi t
algoods, Impor tloani sal l
owedi n
Indianr upeeandi nFor eignCur rency, Toenabl eimpor tersav ai
l ofcr editfort heirpur chases. we
alsoi ssuedocument aryCr edits( LetterofCr editandSt andbyLet terofCr edit)fav ouring
ov erseassuppl ier,I
mpor tLCsar eissuedandt ransmi t
tedbyf astestel ect r
oni cmeansusi ng
SWI FTsy stems, "TradeCr edit"isar rangedf orimpor tersinl i
newi t
hRBIgui delines.Wear r
ange
Buy erCr editandSuppl i
er sCr edi t.Wei ssueLet terofCr edit,LetterofComf ort,Letterof
Under t
akingt of aci l
it
atei mpor terarrangef orTr adeCr editatbet terr ates.

XVI
REFRENCES
ht
tps:
//en.
m.wi
ki
pedi
a.or
g/wi
ki
/Exi
m_Bank_
(Indi
a)

ht
tp:
//www.
ref
erencef
orbusi
ness.
com/
smal
l
/Eq-
Inc/
Expor
t-
Impor
t-
Bank.
html

Exi
mbanki
ndi
a.com

Andal
souseSYBBIFCt
extbook.

XVI
I