RBI to soon offer foreign exchange credit to exporters at sub- 4% interest rate

Export credit disbursement declined 23% to ₹9.57 trillion. India’s exports declined 0.37% to $107.41 billion during April-June.

The Reserve Bank of India will soon provide foreign exchange credit to exporters at sub- 4% interest rate, trade minister Piyush Goyal said on Thursday. “We will come out with robust guidelines soon,” Goyal said while addressing the Board of Trade meeting.

The Export Credit Guarantee Corporation of India may also come out with a credit scheme with enhanced insurance cover up to 90% instead of 60% at present. (Mint File Photo)

Export credit disbursement declined 23% to ₹9.57 trillion. Goyal said the government was concerned about the fall in export credit and have discussed the matter with RBI and finance minister Nirmala Sitharaman.

The Export Credit Guarantee Corporation of India may also come out with a credit scheme with enhanced insurance cover up to 90% instead of 60% at present providing comfort to the banks, a government official said, requesting anonymity.

According to government data, India’s exports declined 0.37% to $107.41 billion during April-June.