RBI CIRCULAR
RBI/2005–06/
271 A.P.
(DIR Series) Circular No. 19
Dated
2nd January, 2006
Exim
Bank’s Line of Credit of US$ 27 Million to The Government of the
The
Export-Import Bank of India (Exim Bank) has concluded an agreement with the
Government of the Republic of Mali making available to the latter a Line of
Credit (LOC) upto an aggregate sum of USD 27 Million (US Dollar Twenty-Seven
Million only). The credit agreement has become effective on December 5, 2005.
The credit is available for financing exports from India, under the Foreign
Trade Policy of the Government of India, of equipment, goods and services for
rural electrification (USD 15 million) and setting up of agro-machinery and
tractor assembly plant (USD 12 million) in Mali. Full details of the Line of
Credit are available at the Exim Bank’s office or its website (www.eximbankindia.com).
2.
The terminal utilization period is 48 months from the scheduled completion date
of contract in case of project exports and 72 months from the date of execution
of the Agreement i.e. August 07, 2011 in case of other supply contracts.
3.
Shipments under the credit will have to be declared on GR/SDF Forms as per
instructions issued from time to time.
4.
No agency commission is payable under the above line of credit, however, if
required the exporter may use his own resources or utilize balances of his EEFC
account for payment of commission in free foreign exchange. Authorised Dealer
(AD) banks may allow such remittance after realisation of full payment of
contract value subject to compliance of prevailing instructions on payment of
agency commission.
5.
AD banks may bring the contents of this circular to the notice of their exporter
constituents.
6.
The directions contained in this circular have been issued under Sections 10(4)
and 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999) and is
without prejudice to permissions/approvals, if any, required under any other
law.
Sd/-
(Vinay
Baijal)
Chief General Manager
Issued
by:
Mumbai