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  • Press Releases

    25-Jul-2022

    Huge Scope for greater engagements between India and African Countries: India Exim Bank

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  • Press Releases

    24-Jun-2022

    India Exim Bank Announces the Winner of the BRICS Economic Research Award 2022

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  • Press Releases

    13-Jun-2022

    Exim Bank forecasts India’s merchandise exports for Q1 (Apr-Jun) of FY2023 to amount to US$ 117.2 bn, and non-oil exports to amount to US$ 93 bn

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  • Press Releases

    10-Jun-2022

    EXIM BANK, on Behalf of The Government of India, Extends a Short-Term Line Of Credit Of USD 55 Million To The Government Of The Socialist Republic Of Sri Lanka

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  • Press Releases

    09-Jun-2022

    Hon’ble Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman launches the New E-Tracking and Remote Administration (NETRA) Platform developed by India Exim Bank

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  • Press Releases

    27-May-2022

    Development Finance Institution and Agency Leaders of Australia, India, Japan, and USA agreed to enhance collaboration to address the infrastructure development challenges facing Indo-Pacific region

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  • Press Releases

    23-May-2022

    India Exim Bank - JBIC conclude US$ 100 mn Loan Agreement to Support the Indian Healthcare Sector related to COVID-19

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  • Press Releases

    13-May-2022

    India Exim Bank extended Buyer’s Credit facility of USD 164.69 mn to finance project envisaging construction of 400 Kv Transmission Line and Associated Substations in Cameroon

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  • Press Releases

    12-May-2022

    India Exim Bank reports threefold increase in profits in FY22; loan assets grow by 13.26%

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  • Press Releases

    06-May-2022

    Strengthening the financing architecture for project exports should be a priority: Shri Piyush Goyal

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  • Press Releases

    08-Apr-2022

    EXIM BANK’S SEMINAR ON “India-Australia: Evolving Trade and Investment Paradigm”

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  • Press Releases

    21-Mar-2022

    India Exim Bank Announces the Winner of IERA Award 2020

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  • Press Releases

    17-Mar-2022

    Enhancing commitment towards sustainable financing, India Exim Bank sets up its ESG Framework

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  • Press Releases

    14-Mar-2022

    Exim Bank forecasts India’s merchandise exports for Q4 (January-March) of FY2022 to amount to US$ 111.3 bn, and non-oil exports to amount to US$ 95.2 bn, with total merchandise exports exceeding US$ 414 bn for FY2022

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  • Press Releases

    03-Feb-2022

    Exim bank, on behalf of the government of India, extends a line of credit [LOC] of USD 500 million to the government of the socialist republic of Sri Lanka

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  • Press Releases

    20-Jan-2022

    Indian Solar Sector: Fostering Growth and Sustainable Development: India Exim Bank Study

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  • Press Releases

    03-Jan-2022

    India Exim Bank set for ARR

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  • Press Releases

    10-Dec-2021

    Exim Bank forecasts India’s merchandise exports for Q3 (October-December) of FY2022 to amount to US$ 105.8 bn, and non-oil exports to amount to US$ 89.1 bn

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  • Press Releases

    12-Nov-2021

    Transition towards a Stable Trade Policy Regime is a gamechanger for Agri Exports from India: India Exim Bank Study

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  • Press Releases

    27-Oct-2021

    India Exim Bank rings the bell with AFRINEX for listing of USD 1 billion10-year bond

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Huge Scope for greater engagements between India and African Countries: India Exim Bank

India Exim Bank’s study titled “Building a Resilient Africa: Enhanced Role of India” was released during the 17th CII-EXIM Bank Conclave on India - Africa Growth Partnership on July 19, 2022, in the presence of Shri. Piyush Goyal, Minister of Commerce & Industry, Consumer Affairs, Food & Public Distribution and Textiles, Government of India; H.E. Mr. Marie Cyril Eddy Boissezon, GOSK, Vice President, Republic of Mauritius; H.E. Mr. Badara A. Joof, Vice-President, Republic of The Gambia; H.E. Dr. James Wani Igga, Vice-President, Republic of South Sudan; H.E. Ms. W.K. Mutale Nalumango, Vice President, Republic of Zambia; H.E. Ms Netumbo Nandi-Ndaitwah, Deputy Prime Minister and Minister of International Relations and Cooperation, Republic of Namibia; Ms Harsha Bangari, Managing Director, India Exim Bank, along with senior corporate executives. 

India Exim Bank’s study finds huge trade complementarity between India and Africa.India’s total trade with Africa stood at US$ 82.5 billion in 2021, recording the highest ever level witnessed by both regions. Using ITC’s export potential methodology, the study finds bilateral export potential of India and Africa at US$ 48 billion. The paper also examined the evolution of India’s development cooperation with Africa over the years and emphasised the need for India to step up efforts to enhance this developmental partnership, especially in the context of changing global architecture in recent times. To understand geographical and sectoral distribution of India’s project exports to Africa, contracts secured by Indian project exporters in projects awarded by the MDBs like the AfDB, and the World Bank have also been analysed. The study further recommends strategies to enhance India’s role in building a post pandemic resilient Africa and assist it to rebound to its earlier high growth trajectory and exports through increased collaboration in potential sectors like agriculture, healthcare, and renewable energy, among others. The study also recommends exploring alternate mechanisms for infrastructure financing and addressing the existing trade finance gap.

Addressing the participants during the inaugural session of the Conclave,Hon’ble Minister Shri. Piyush Goyal, Minister of Commerce & Industry, Consumer Affairs, Food & Public Distribution and Textiles, Government of Indiaemphasised that India looks at Africa as partner in progress, with India-Africa partnership best described through four pillars - people, business, trade and government.  He has underlined that Africa-India partnership will play a very important role going forwardand lead the developing world out of food insecurity and bring prosperity.

In her address, Ms.Harsha Bangari, Managing Director, India Exim Bank, highlighted that bridging gaps in trade finance couldunlock the latent export potential of India and Africa and can increase the share in global export participation of both regions. She underscored the increased role of multilateral development banks (MDBs) and development finance institutions (DFIs) in providing measures to reduce the trade finance gap. Ms Bangari stressed thatIndia needs to be dynamic in its engagements in Africa and address the changing needs of the Continent, while emphasising thehuge opportunity African Continental Free Trade Area (AfCFTA) agreement presents for India.

For further information, please contact
Mr. David Sinate, Chief General Manager,
Export-Import Bank of India,
Centre One Building, Floor 21, World Trade Centre Complex, Cuffe Parade, Mumbai – 400005. 
Telephone: +91-22-22182511; Fax: +91-22-2218 0743; 
E-mail: dsinate@eximbankindia.in

 

India Exim Bank Announces the Winner of the BRICS Economic Research Award 2022

India Exim Bank’s BRICS Economic Research Award 2022 was presented to the Award winner, Dr. Apoorv Gupta during the 12th Annual BRICS Financial Forum hosted online by China Development Bank (CDB), on June 17, 2022 in the presence of heads of member development banks of the BRICS Interbank Cooperation Mechanism.

June 17, 2022: Dr. Apoorv Gupta was declared the winner of Export-Import Bank of India’s (India Exim Bank’s) BRICS Economic Research Award 2022 by Ms. Harsha Bangari, Managing Director, Export-Import Bank of India, during the 12th BRICS Annual Financial Forum, hosted online by China Development Bank, on June 17, 2022. The Forum saw the participation of the heads of member development banks of the BRICS Interbank Cooperation Mechanism viz. the Brazilian Development Bank (BNDES); VEB.RF; China Development Bank (CDB); Export-Import Bank of India (India Exim Bank) and Development Bank of Southern Africa (DBSA), along with the New Development Bank. The Award comprises prize money of Indian Rupees 1.5 million (approximately USD 20,000), a medal and a citation. 

The Winning Thesis

Dr. Apoorv Gupta won the Award for his doctoral thesis “Essays on Finance and Development”. Dr. Gupta received his doctoral degree in 2020 from Northwestern University, USA. He is currently working as Assistant Professor of Economics, Dartmouth College, USA.

The BRICS Economic Research Award

In the context of India’s Chairmanship of the BRICS Forum during 2016, and under India Exim Bank’s Presidency of the BRICS Interbank Cooperation Mechanism, India Exim Bank instituted the BRICS Economic Research Award in March 2016. The objective of the Award is to stimulate and encourage advanced doctoral research on economics related topics of contemporary relevance to the member nations of BRICS.  

The BRICS Economic Research Award represents India Exim Bank’s on-going efforts at promoting research in the area of international economics, trade & development and related financing. The Award accepted as entries, doctoral thesis written by nationals of any of the five member nations of BRICS, who have been awarded a doctorate or accepted for award of a doctorate from any University or academic institution globally. The details of the Award were disseminated globally through advertisements in print and electronic media.

For further details please contact:
Mr. David Sinate, Chief General Manager,
Export-Import Bank of India,
Centre One Building, Floor 21, World Trade Centre Complex, Cuffe Parade, Mumbai 400 005.
Telephone: +91-22- 2286 0363; Fax: 022- 2218 0743;
E-mail: dsinate@eximbankindia.in

Exim Bank forecasts India’s merchandise exports for Q1 (Apr-Jun) of FY2023 to amount to US$ 117.2 bn, and non-oil exports to amount to US$ 93 bn

Export-Import Bank of India (India Exim Bank) forecasts India’s total merchandise exports to continue to cross the US$ 100 bn mark, for the fourth consecutive quarter in a row.  The first quarter exports would be close to US$ 120 bn (US$ 117.2 bn) growing at 22.7%.  Non-oil exports continue to witnessa double-digit growth (12.6%) amounting to US$ 93 bn, during the first quarter (April-June) of 2022-23.  This compares to US$ 95.5 bn and US$ 82.6 bn of total exports and non-oil exports, respectively, for the corresponding quarter of the previous year.  The rise in India’s exports could be attributed largely to the continued increase in global commodity prices driven by supply shocks, enhanced price competitiveness owing to exchange rate movements, and benefits from possible trade diversion.  The growth forecast may be subject to commodity price volatility, and uncertainties in the global economy mainly driven by the current geo-political tension.

Forecast of growth in India’s total merchandise exports and non-oil exports are released by India Exim Bank on a quarterly basis, during the first week of the months of June, September, December, and March for the corresponding quarters, with continuous improvisation to the model. The next growth forecast for India’s exports for the 2ndquarter of FY 2023 (i.e. July-September 2022) would be released during the first week of September 2022.

The model and the forecast results have been reviewed by a standing technical committee of domain experts comprising Professor Saikat Sinha Roy, Professor & Coordinator, Centre for Advanced Studies, Department of Economics, Jadavpur University, Kolkata; Dr. Sarat Dhal, Director, Department of Economic and Policy Research, Reserve Bank of India, Mumbai; Professor N. R. Bhanumurthy, Vice Chancellor, BASE University, Bengaluru; and Professor C. Veeramani, Professor, Indira Gandhi Institute of Development Research (IGIDR), Mumbai.

As part of its continued research initiatives, Exim Bank has developed an in-house model to generate an Export Leading Index (ELI) for India to track and forecast the movement in India’s exports on a quarterly basis.The ELI gauges the outlook for the country’s exports and is essentially developed as a leading indicator to forecast growth in total merchandise and non-oil exports of the country, on a quarterly basis, based on several external and domestic factors that could impact exports of the country.  

For further information, please contact:
Mr. David Sinate, Chief General Manager/ Dr. Viswanath Jandhyala, Assistant General Manager, Research & Analysis Group,
Export-Import Bank of India, 8th Floor, Maker Chamber IV, Jamnalal Bajaj Marg, Nariman Point, Mumbai 400 021;
T: +91-22-2286 0363/ 0310/ 0311
E: dsinate@eximbankindia.in/ viswanath@eximbankindia.in

Disclaimer: The results presented above could be of interest to policy makers, researchers, and exporters among others.  These are growth forecasts from the Research and Analysis Group of India Exim Bank and do not necessarily reflect the views of India Exim Bank.  The growth forecast for the quarter derived from the Export Leading Index (ELI) model may be subject to commodity price volatility, and uncertainties in the global economy mainly driven by the geo-political tension.The model would undergo continuous improvisation with revision of recent available data and advanced forecasting methodology, incorporating comments, suggestions and feedback from various quarters. Actual exports data are sourced from RBI’s Database on Indian Economy.

EXIM BANK, on Behalf of The Government of India, Extends a Short-Term Line Of Credit Of USD 55 Million To The Government Of The Socialist Republic Of Sri Lanka

LOC Agreement of USD 55 mn was signed by Mr. K. M. Mahinda Siriwardana, Secretary, Ministry of Finance, Economic Stabilization and National Policies, Government of the Socialist Republic of Sri Lanka and Mr. Nirmit Ved, General Manager, Exim Bank, in the presence of the Prime Minister, Government of the Socialist Republic of Sri Lanka, H.E. Mr. Ranil Wickremesinghe and the High Commissioner of India to Sri Lanka, H.E. Mr. Gopal Baglay, in Colombo on June 10, 2022

Export-Import Bank of India (Exim Bank) has, on behalf of the Government of India, extended a Short Term Line of Credit (STLOC) of USD 55 mn to the Government of the Socialist Republic of Sri Lanka for financing Procurement of Urea Fertiliser.

The STLOC Agreement to this effect, was signed by Mr. K. M. Mahinda Siriwardana, Secretary, Ministry of Finance, Economic Stabilization and National Policies, Government of the Socialist Republic of Sri Lanka and Mr. Nirmit Ved, General Manager, Exim Bank, in the presence of the Prime Minister, Government of the Socialist Republic of Sri Lanka, H.E. Mr. Ranil Wickremesinghe and the High Commissioner of India to Sri Lanka, H.E. Mr. Gopal Baglay, in Colombo on June 10, 2022.

With the signing of the above LOC Agreement for USD 55 mn, Exim Bank, till date, has extended 11 (eleven) Lines of Credit to the Government of the Socialist Republic of Sri Lanka, on behalf of the Government of India, taking the total value of LOCs extended to USD 2.73 bn. Projects covered under the LOCs extended to the Government of the Socialist Republic Sri Lanka includes supply of Petroleum products, Railway projects, Defence and Infrastructure Projects. 

With the signing of this LOC Agreement, Exim Bank has now in place 274 Lines of Credit, covering 61 countries in Africa, Asia, Latin America and the CIS, with credit commitments of around USD 27.81 bn, available for financing exports from India. Besides promoting India’s exports, Exim Bank's LOCs enable demonstration of Indian expertise and project execution capabilities in emerging markets. 

For further information, please contact
Mr. Nirmit Ved, General Manager,
Export-Import Bank of India,
Office Block, Tower 1, 7th Floor, Adjacent Ring Road, Kidwai Nagar East,
New Delhi-110023. Telephone: +91 11 24607710/,
E-mail: eximloc@eximbankindia.in, Website: www.eximbankindia.in

Hon’ble Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman launches the New E-Tracking and Remote Administration (NETRA) Platform developed by India Exim Bank

Recent initiatives of the Government of India have infused a new vitality to the Indian Development and Economic Assistance Scheme (IDEAS), preparing the country for a new leap forward in development partnerships during the Amrit Kaal, said Smt. Nirmala Sitharaman, Hon’ble Minister of Finance and Corporate Affairs, Government of India, during an event organized on the theme of India’s Economic Journey @ 75, at Vigyan Bhawan, New Delhi, on 8th June 2022, as part of the Iconic Week of the Ministry of Finance and Corporate Affairs, Government of India marking the occasion of Azaadi ka Amrit Mahotsav. 

Speaking on the occasion, Smt. Sitharaman highlighted the myriad benefits of concessional credit lines extended by the Export-Import Bank of India (India Exim Bank) at the behest of the Government of India under IDEAS, for both partner countries and India. She highlighted the success of IDEAS in sharing India’s development experience with partner countries to support economic and infrastructure projects, generate socio-economic benefits, promote bilateral trade, and support capacity building and skills transfer. She also underscored the complementary benefits of IDEAS for India through expansion in trade, and resultant economic growth and employment generation in the country.  

During the event, a video prepared by India Exim Bank on the impact of Lines of Credit extended under IDEAS, showcased the evolving scope and scale of IDEAS and displayed select projects in partner countries that are engendering multi-dimensional socio-economic benefits. The video also informed participants about the IDEAS guidelines and model documents created by India Exim Bank, that are further easing the process of procurement and improving the implementation and quality of projects under IDEAS. 

In another key step towards bolstering India’s commitment to development partnership as the country advances from the Amrit Mahotsav towards the Amrit Kaal, Smt. Sitharaman launched a one-stop, dynamic monitoring platform developed by India Exim Bank, termed NETRA (New E-Tracking and Remote Administration). The NETRA platform allows seamless and secure access to information, real-time updates on project implementation, and expeditious delivery of quality projects under IDEAS. The NETRA platform is equipped to capture more than 200 data points, providing information at all stages, right from announcement of the concessional credit lines by the Government of India, to monitoring of the approval process, and implementation of the projects. The NETRA platform, along with the revised IDEAS guidelines and model documents, would be harbingers of a new era of development cooperation for India.

For further information, please contact

Ms. Deepali Agarwal, Chief General Manager, Export-Import Bank of India, Center One Building, 21st Floor, World Trade Center Complex, Cuffe Parade, Mumbai 400005, Phone: +91-22-22172700
E-mail : ccg@eximbankindia.in

 

Development Finance Institution and Agency Leaders of Australia, India, Japan, and USA agreed to enhance collaboration to address the infrastructure development challenges facing Indo-Pacific region

TOKYO — The head of development finance institutions and agencies of Australia, India, Japan, and USA - Export Finance Australia (EFA), the Australian Infrastructure Financing Facility for the Pacific (AIFFP), India Export-Import Bank (India Exim Bank), Japan Bank for International Cooperation (JBIC), and US International Development Finance Corporation (US DFC) - gathered in-person and virtually on 23 May, 2022 in Tokyo to discuss enhanced collaboration to better connect the Indo-Pacific region, ahead of the Quad Leaders’ Meeting.

The leaders of the finance institutions and agencies exchanged views on essential priority areas of the region including climate change; secure and reliable telecommunication networks; sustainable supply of energy; food and medical security; and global supply chain resilience.

The participants also agreed to work together to overcome the infrastructure development challenges facing Indo-Pacific region. They agreed to make concerted efforts to promote innovation to provide secure and reliable technology, such as telecommunication network projects, including 5G rollout, and green transition technology, including clean hydrogen. On supply chain resilience, participant institutions and agencies will continue discussions to identify supply chain vulnerabilities and explore appropriate measures to diversify sources of critical goods and related supply chains through cooperation with wider stakeholders including the private sector.

The roundtable was hosted by JBIC. “Today’s roundtable of the four development finance institutions and agencies on the sidelines of the Quad Leaders’ Meeting is a symbolic initiative. These finance institutions and agencies are committed to facing the global challenges in this new era,” said the JBIC governor Tadashi Maeda.

###
About Export Finance Australia

Export Finance Australia (EFA) is Australia’s export credit agency. EFA provides commercial finance for Australian exporters and overseas infrastructure development. EFA helps Australian SMEs and larger companies to realise export opportunities, contribute to an export supply chain or grow their international revenue.

About AIFFP

The Australian Infrastructure Financing Facility for the Pacific (AIFFP) invests in key economic infrastructure such as telecommunications, energy, transport and water across the Pacific and Timor-Leste, using a mix of loan finance and ODA grants. Since inception in 2019, the AIFFP has agreed to over $950 million in financing (including $730 million in lending) across ten major capital infrastructure works. The AIFFP utilises back-office support from Export Finance Australia in the administration of loans.

About India Exim Bank

Export-Import Bank of India (India Exim Bank), established in 1982 under an Act of the Indian Parliament, fully owned by the Government of India, is a financial institution engaged in funding, facilitating, and promoting India’s global trade and investment. Since its inception, India Exim Bank has been a catalyst and a key player in the promotion of cross-border trade and investment; and supports Indian companies in enhancing their competitiveness and internationalization efforts. The Bank also extends financial assistance to developing partner countries to create a positive socio-economic development impact in projects across an array of diverse sectors. India Exim Bank has also been regularly innovating its products and services, keeping in view the dynamics of the global trade scenarios, for mutually beneficial engagements with partners across regions. To know more about the Bank, visit: www.eximbankindia.in

About JBIC

The Japan Bank for International Cooperation (JBIC) is a policy-based financial institution, its shares wholly owned by the Government of Japan, which has the purpose of contributing to the sound development of the Japanese and international economy and society by taking responsibility for financial functions to promote overseas development and secure natural resources with strategic importance to Japan, maintaining and improving the international competitiveness of Japanese industries, promoting overseas business having the purpose of preserving the global environment, and also providing the financial services that are necessary to prevent disruptions to the international financial order or to implement appropriate measures with respect to the effects of such disruption.

About DFC

U.S. International Development Finance Corporation (DFC) partners with the private sector to finance solutions to the most critical challenges facing the developing world today. We invest across sectors including energy, healthcare, critical infrastructure, and technology. DFC also provides financing for small businesses and women entrepreneurs in order to create jobs in emerging markets. DFC investments adhere to high standards and respect the environment, human rights, and worker rights. 

India Exim Bank - JBIC conclude US$ 100 mn Loan Agreement to Support the Indian Healthcare Sector related to COVID-19

(Ms. Harsha Bangari,Managing Director,India Exim Bank,concludes USD 100 mn facility with Mr. Makoto Uchida, Managing Executive Officer, Global Head of Infrastructure and Environment Finance Group, Japan Bank for International Cooperation)

Export-Import Bank of India (India Exim Bank)concluded a USD 100 mn loan agreement with Japan Bank for International Cooperation(JBIC), along with three Japanese private financial institutions, namely, MUFG Bank, Ltd., the Bank of Kyoto, Ltd., and the Hachijuni Bank, Ltd., on May 23, 2022, on the side-lines of the Quad Leaders' Summit. The purpose of this facility is to support the Indian healthcare sector related to combating COVID-19, including but not limited to vaccine manufacturers, pharmaceutical companies, manufacturers of personal protective equipment, medical oxygen or other medical devices, hospitals, and other related activities.

As a prelude and to better understand the market requirements of this sector, India Exim Bank along with JBICorganised aRoundtable in collaboration with thePharmaceuticals Export Promotion Council of India (Pharmexcil) in July 2021, with participation fromthe CEOs of some of India’s largest healthcare and pharmaceutical companies. To further spread awareness on the funding structures available for such companies in India, India Exim Bankand JBIC jointly organised another programme in collaboration with Pharmexcilin September 2021.

Through this facility, India Exim Bank and JBIC will jointly work towards expanding safe and effectivemanufacturing of COVID-19 vaccines and related pharmaceutical and healthcare products in India.

India Exim Bank has been supporting the healthcare sector and all the segments in the pharmaceutical value chain. Apart from supporting domestic expansion projects of the companies in these sectors, the Bank has also supported the overseas endeavours of various Indian companies in the healthcare sector (including hospitals and healthcare facilities, pathological labs, and related training/ education services), pharmaceutical companies (including manufacturing of bulk drugs and formulations), and biosimilar/ biopharma (including life sciences) companies, among others. Additionally, India Exim Bank has been supporting research and development, new product development and other related areas.

India Exim Bank, established in 1982, is committed to promote India’s international trade and investment. The Bank offers Indian companies a comprehensive range of products and services, supported by analysis and research, with a view to enhancing their international competitiveness. The Bank actively supports Indian exporting companies, especially medium-sized enterprises, in their globalisation efforts through a variety of lending programmes.India Exim Bank has also been regularly innovating its products and services, keeping in view the dynamics of the global trade scenarios, for mutually beneficial engagements with partners across regions.

For further information, please contact
Mr. Tarun Sharma
Chief Financial Officer
Export-Import Bank of India
Centre One Building, Floor 21
World Trade Centre Complex Cuffe Parade
Mumbai 400005
Telephone +91-22-22172601
E-mail: tag@eximbankindia.in

India Exim Bank extended Buyer’s Credit facility of USD 164.69 mn to finance project envisaging construction of 400 Kv Transmission Line and Associated Substations in Cameroon

Export-Import Bank of India (India Exim Bank) on May 11, 2022 executed a Buyer’s Credit Agreement with the Government of the Republic of Cameroon for construction of 400kV Transmission Line along with associated sub-stations project in Cameroon, valued at USD 173.36 mn. This funding is proposed to be provided under the Buyer’s Credit program under the National Export Insurance Account (NEIA) Scheme. The project inter alia is expected to improve the socio-economic well-being, with supply of electricity to the population of more than 8 mn in the northern part of Cameroon. The Buyer’s Credit Agreement was signed in Yaoundé, Cameroon. The project is proposed to be executed by Kalpataru Power Transmission Ltd. (KPTL). 

India Exim Bank had earlier also supported another Transmission Line project in Cameroon, under the NEIA scheme. Further, India Exim Bank has supported various projects in water, power, railway and road sectors in various countries viz. Ghana, Zambia, Mauritania, Cote d’Ivoire, Madagascar, Uganda, Tanzania and Senegal in Africa, Maldives and Sri Lanka in Asia and Suriname in Latin America under the NEIA scheme to promote the project exports from India. The NEIA scheme is a unique financing mechanism that provides a safe mode of financing option to the Indian Project Exporters backed by cover from NEIA Trust. 

For more information, please contact:
Shri Rikesh Chand, General Manager,
Export-Import Bank of India,
Centre One Building, Floor 21, World Trade Centre Complex, Cuffe Parade, Mumbai 400005;
Phone +91-22-2212340; E-mail: rikesh@eximbankindia.in.

India Exim Bank reports threefold increase in profits in FY22; loan assets grow by 13.26%

India Exim Bank’s Managing Director, Ms. Harsha Bangari, and Deputy Managing Director, Mr. N. Ramesh, announced the Bank’s results for the financial year 2021-22 at a press conference in Mumbai on Thursday, May 12, 2022.Key highlights of the Bank’s performance during 2021-22 are as under:

FINANCIAL PERFORMANCE

Parameter

(A – K in ` Crore, L – N in %)

Performance in 2020-21

Performance in 2021-22

Growth over 2020-21

A.        Net Loan Portfolio

1,03,851

1,17,619

13.26%

B.        Non-Fund Portfolio

14,229

15,247

7.15%

C.        Customer Asset Portfolio (A+B)

1,18,080

1,32,866

12.52%

D.       Net Investments

10,017

10,903

8.84%

E.        Total Borrowings

1,09,617

1,07,477

(1.95%)

F.        Total Business (C+D+E)

2,37,714

2,51,246

5.69%

G.       Business per Employee

683

737

7.86%

H.       Operating Profit

      2,823

      3,130

10.87%

I.         Profit Before Tax

        356

      2,150

503.93%

J.         Profit After Tax

254

738

190.55%

K.        Net Non-Performing Assets

533

-

(100%)

L.        Capital to Risk Assets Ratio

25.89%

30.49%

460 bps

M.     Provision Coverage Ratio

96.74%

100%

326 bps

N.     Slippage Ratio

1.52%

0.24%

    (128 bps)

 

BUSINESS PERFORMANCE

Exim Bank sanctioned loans aggregating ` 68,863 crore under various lending programmes during FY 2021-22.

Policy Business: During FY 2021-22, Exim Bank on behalf of the Government of Indiasanctionedsix Lines of Credit, aggregating US$ 1.13 billion, to support export of projects, goods, and services from India. The Bank has a portfolio of 310 GOI-LOCs with credit commitments aggregating US$ 31.96 billion, which are at various stages of implementation. With ever expanding reach, the LOCs have gained momentum in stimulating economic growth across 66 countries in Africa, Asia, Latin America, Oceania and the CIS region.Under the Buyers’ Credit - National Export Insurance Account (BC-NEIA) portfolio till date, Exim Bank has sanctioned an amount of US$ 3.01 billion, for 34 export projects. Government of India’s announced further infusion of ` 1,650 crore to the NEIA Trust will further support project exports worth ` 33,000 crore.

Commercial Business: During FY 2021-22, Exim Bank has supported 75 project export contracts valued at ` 19,380.34 crore under its commercial portfolio, in 39 countries.As on March 31, 2022, Exim Bank provided an aggregate overseas investment finance of ` 63,877.51 crore to 652 Joint Ventures / Wholly Owned Subsidiaries, set up by 483 Indian companies in 78 countries. Under the Bank’s newly launched Ubharte Sitaare Programme, credit facilities aggregating ` 306.32 crore were extended to 15 companies in sectors including aerospace, auto, pharmaceuticals, engineering and consumer durables.

RESOURCES & TREASURY 

During FY 2021-22, Government of India infused ` 750 crore capital into Exim Bank. A further capital infusion of ` 1,500 crorefor FY 2022-23 has been announced by the Government of India in budget 2022.

Exim Bank raised foreign currency resources aggregating US$ 2.05 billion equivalent, through a variety of instruments and rupee resources aggregating ` 19,046 crore, in FY 2021-22. During the year, the Bank issued a 5-year CNH 500 million bond under the GMTN programme. This was the largest CNH issuance out of India with the lowest coupon in the currency. The Bank also issued its first HKD bond, valued at HKD 435 million.

The Bank is rated Baa3 (Stable) by Moody’s, BBB- (Stable) by S&P Global Ratings, BBB- (Negative) by Fitch Ratings and BBB+ (Stable) by Japan Credit Rating Agency. All the above ratings are of investment grade or above, and are the same as the sovereign rating. 

NEW INITIATIVES

Exim Bank has set up an ESG Framework to facilitate issuance of green, social or sustainable bonds / loans. A Second PartyOpinion was sought from Sustainalytics, which confirmed that the Framework is ‘credible and impactful’, and that the Bank is well-positioned to address common environmental and social risks associated with projects.

To further enhance its support to the MSME sector, Exim Bank has initiated Trade Assistance Programme. Under this programme, trade lines will be extended to participating overseas banks/institutions in the emerging markets, and credit enhancement to participating commercial banks in India to cover payment obligations on identified banks.Exim Bank is also in the process of setting up a factoring business, with focus on MSME exporters.

EXPORT FACILITATION

The Department of Commerce, Ministry of Commerce & Industry, Government of India is engaging with Exim Bank to conduct an impact assessment of Free Trade Agreements for the EU and Canada. The Bank has also partnered with the Government of Andhra Pradesh for preparing an export strategy paper for the state.

Exim Bank conducted 19 seminars/workshops for exporters, with themes such as export capability creation, business opportunities, industry, country & region focus, and export potential of Indian states. 

Exim Bank, under its grassroots initiatives, has been supporting and assisting rural artisans, craftsmen and farmers to widen their domestic as well as international presence by organizing design, skill-building and training workshops. Some of these programmes organised during the year were for weavers of Banarasi Silk in Varanasi and Waril artisans of Maharashtra. The Bank has identified 12 products from 11 districts under the Government of India’s One District One Product initiative and is engaging with stakeholders to provide relevant interventions.

SOCIAL INITIATIVES

During FY 2021-22, 12 projects / programmes in seven states and one UT were sanctioned in the areas of education& skill development, environment, healthcare & sanitation, and livelihood activities. Some of the notable projects implemented during the year include upgrading facilities in hospitals in Assam, Jharkhand, Maharashtra and Rajasthan; education infrastructure development in 20 schools in Solapur (Maharashtra); sponsoring underprivileged women weavers in Mizoram for skill development; and construction of all-weather toilets and renovation of training centres in Ladakh for the local weaver community. Exim Bank has identified two villages in Maharashtra for an overall improvementof health and education infrastructure, and livelihood and skill development, under its ‘Dream Village’ initiative.

For more information, please contact: Ms. Deepali Agrawal, Chief General Manager, Export-Import Bank of India, Centre One Building, Floor 21, World Trade Centre Complex, Cuffe Parade, Mumbai 400005; Phone +91-22-22172700; E-mail: ccg@eximbankindia.in.

 

 

Strengthening the financing architecture for project exports should be a priority: Shri Piyush Goyal

Strengthening the financing architecture for project exports through innovative financing instruments and relooking regulations such as prudential norms for export credit agencies should be a priority, saidMr. Piyush Goyal, Hon’ble Minister of Commerce and Industry,Consumer Affairs, Food and Public Distribution, and Textiles, Government of India,during a summit organized by the Export-Import Bank of India (Exim Bank) on the theme ‘Enhancing Global Opportunities for Indian Project Exporters’ on 5th May 2022, in New Delhi. The Summit had participation from representatives from Government of India, foreign diplomatic missions in India, multilateral financing institutions, development financing institutions, export credit agencies, credit insurance agencies, and Indian companies, among others. The Summit was attended by more than 150 participants.

Addressing the participants in the Summit, Mr. Goyalhighlightedthe remarkable resilience of Indian exporters despite the pandemic induced disruptions. Mr. Goyal noted that the country is heading towards achievement of the larger objective of US$ 1 trillion of exports in goods and services each, and nascent sectors such as project exports would be critical for this.

Informing the participants about the Government of India’s commitment to enhance market access through free trade agreements (FTAs), Mr. Goyal invited stakeholders to highlight the non-tariff barriers that they face in important project markets, so that these could be effectively addressed in FTA negotiations. Highlighting the substantial opportunities in developed markets for project exports and need for diversification into these markets, Mr. Goyal urged project exporters to identify market access issues in these markets that can be addressed by the Government. 

During the Summit, Mr. Goyal also released an Exim Bank Study titled, “Project Exports from India: Tapping potential amid Changing Dynamics”, and commended India Exim Bank for undertaking research on this niche area. Based on stakeholder consultations and desk research, the Study provides a broad perspective on the current scenario of project exports from India, undertakes a comparative analysis of the strengths and weaknesses of Indian companies, reviews the impact of Covid-19 pandemic, and recommends pertinent strategies for boosting project exports from the country. Mr. Goyal also released anotherExim Bank Study on the subject, titled ‘India’s Engagements in Free Trade Agreements: Looking Ahead’ during the Summit, which assesses India’s major trade agreements and their impact on India’s trade.

During her inaugural address, Ms. Rupa Dutta, Principal Economic Advisor, Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, Government of India,commended the timeliness of the Summit given the large rounds of infrastructure investments being made by countries all across the world, and the likely opportunities that may emerge for project exporters. 

In her address, Ms.Harsha Bangari, Managing Director, Exim Bank,highlighted some of the challenges for project exports that emanated during the deliberations in the last edition of the Summit in 2019, and the progress made in addressing these challenges. These measures,included inter aliainclusion of provisions for co-financing of projects in IDEAS guidelines, addressing the need for Euro financing, addition of escrow mechanism as an additional security measure, and implementation of an ESG policy to give preference to green and socially sustainable projects.

Summarising the proceedings of the Summit in his Vote of Thanks, Mr. N. Ramesh, Deputy Managing Director, Exim Bank, reiteratedthe key themes emerging from the discussions, including the need for greater collaboration, aligning the priorities of the industry with that of the Government of India, and need for addressing non-tariff barriers to projects exports through FTAs, among others. 

For further information, please contact
Mr. S Prahalathan, Chief General Manager,Research & Analysis GroupExport Import Bank of India, 
Floor 8, Maker Chamber IV, Nariman Point, Mumbai - 400021
Telephone: 91-22-22860333, 
E-mail: prahalathan@eximbankindia.in

EXIM BANK’S SEMINAR ON “India-Australia: Evolving Trade and Investment Paradigm”

India Exim Bank’s study titled “India’s Trade and Investment Relations with Australia: Recent Trends and Potential” was released at the hands of The Hon Barry O’Farrell AO, Australian High Commissioner to India in the presence of Mr. Peter Truswell, Consul General of Australia, Mumbai and Ms. Harsha Bangari, Managing Director, India Exim Bank, during a seminar titled “India-Australia: Evolving Trade and Investment Paradigm” on April 08, 2022, hosted by India Exim Bank. The event was also graced by Mr. John Hopkins, Chief Risk Officer and General Counsel, Export Finance Australia; Dr. Monica Kennedy, Senior Trade and Investment Commissioner, Austrade, Mumbai; Mr. Irfan Malik, President, New South Wales Chapter, Australia India Business Council; and Mr. Amit Bhandari, Senior Fellow, Gateway House Mumbai.

The study highlights the immense opportunities existing for enhancing trade and investment relations between India and Australia.  The study notes that till the period prior upto 2020, the total trade between the two countries peaked at US$ 18 billion in 2017, with India’s exports to Australia amounting to US$ 4 billion and imports from Australia amounting to US$ 14 billion.

The study, through the trade complementarity analysis, recommends suitable product categories in which India has a latent advantage in exports, much in line with the huge import demand in Australia. The study suggests significant potential for India’s exports in categories such as machinery and mechanical appliances, electrical machinery and equipment, transport vehicles, pharmaceutical products, articles of apparel and clothing, among others.  The study also highlights that their exists immense potential for expanding India-Australia investment relations. Australian economy offers opportunities for investment in critically important sectors like renewable energy, critical minerals etc. which have the potential to become future champion industries.

The Australian High Commissioner in his keynote address said there had “never been an easier time to speak about the potential of the Australia-India relationship, given the progress we have witnessed in the past few weeks alone… The Economic and Cooperation Trade Agreement [signed last week] provided the opportunity to properly harness the complementary nature of our economies in the areas highlighted by India Exim Bank’s report.”  

Ms. Harsha Bangari, Managing Director, India Exim Bank in her address highlighted that India and Australia have been enjoying a strong and cordial relationship. Driven by existing complementarities and with the signing of recent Economic Cooperation and Trade Agreement (ECTA), the opportunities for bilateral collaboration in several fields are expected to multiply manifolds over the years. Ms. Bangari also added that India’s merchandise trade with Australia more than doubled from US$ 10.7 bn in 2020 to a record high of US$ 23 in 2021.

Mr. John Hopkins, Chief Risk Officer and General Counsel, Export Finance Australia in his address stressed upon the growing opportunities for Australia and India to work together on financing projects in areas of economic and strategic importance, particularly infrastructure and critical minerals.

With India-Australia trade recording an all-time high in 2021, the panellists deliberated upon the issues and prospects for enhancing India’s engagements in trade and investment with Australia, in diversified areas of mutual interest.

For further information, please contact:
Mr. David Sinate, Chief General Manager, Research & Analysis Group,
Export Import Bank of India, Centre One Building,
Floor 21, World Trade Centre Complex, Cuffe Parade,
Mumbai – 400005, T: 91-22-22860363, E-mail: dsinate@eximbankindia.in

India Exim Bank Announces the Winner of IERA Award 2020

Caption: Announcement of the winner of India Exim Bank International Economic Research Annual (IERA) Award 2020, Dr. Sanjana Goswami, by Ms. Harsha Bangari, Managing Director, India Exim Bank at the Award Webinar organized by India Exim Bank on March 21, 2022.  

Mumbai: March21, 2022:Dr.Sanjana Goswamiwas declared the winner of Export-Import Bank of India’s (India Exim Bank’s) International Economic Research Annual (IERA) Award 2020 for her doctoral thesis titled “Empirical Studies in International Trade”. India Exim Bank’s IERA Award 2020 was announced by Ms. Harsha Bangari, Managing Director, India Exim Bank, at a webinar held on March21, 2022. The Award comprises prize money of Rs. 3.5 lakh and a citation.  The webinar was graced by the Guest of Honour, Dr.D.M. Nachane, Former Chancellor, University of Manipur, Professor Emeritus andFormer Director, Indira Gandhi Institute of Development Research, Mumbai.India Exim Bank’s occasional paper based on Dr. Sanjana Goswami’sAward-winning thesis was also released on the occasion.

On this occasion Dr. Nachane congratulated India Exim Bank for its continuous efforts to promote economic research in India.  Against the backdrop of disruptions caused to global trade due to the pandemic and the recent developments, he opined that examining the links between global trade and its distributional consequences could prove to be beneficial for policy makers. 

Ms. Bangari, highlighted that the IERA Award, instituted in 1989, currently in its 32nd year, is given to Indian nationals for their outstanding doctoral dissertations in the area of international economics, trade, development and related financing from Indian or foreign universities. Commenting on the Award-winning thesis, Ms. Bangari noted that the research study throws light on distributional impacts of international trade, in the light of global trade wars.  

The Winning Thesis

Dr. Sanjana Goswami received herdoctoral degree in 2020 from the University of California, Irvine, USA. The thesis was written under the supervision of Prof. Antonio Rodriguez-Lopez, Prof Priyaranjan Jha, and Prof. Ying-Ying Lee, University of California, Irvine, USA.

Exim Bank’s IERAAward

Exim Bank IERA Award represents the Bank’s ongoing efforts at promoting research and analysis in the area of international economics, trade & development and related financing. 

For further details please contact: 

Chief General Manager, Research & Analysis Group, 

Export-Import Bank of India, Centre One Building, 

Floor 21, World Trade Centre Complex, Cuffe Parade, Mumbai 400 005. 

Telephone: 022- 2217 2708/ 2717; 

Fax: 022- 2218 0743; 

E-mail: iera@eximbankindia.in; 

Enhancing commitment towards sustainable financing, India Exim Bank sets up its ESG Framework

Building on its long-term commitment towards sustainable financing, Export-Import Bank of India (India Exim Bank), India’s premier export finance institution, announcedits Environmental, Social and Governance (ESG) Framework.

In its endeavour to align with the global ESG considerations, and enhancing transparency and communication with its stakeholders, India Exim Bank set up its ESG framework to issue green, social or sustainable bond and loans. The Framework outlinesIndia Exim Bank’sintent to enter intosustainable financing transactions to finance projects that have a positive environmental and/or social impact while supporting its business strategy. The Framework defines eligibility criteria in six green and four social areas, viz. renewable energy, sustainable water and wastewater management, pollution prevention and control, clean transportation, green buildings, energy efficiency, access to essential services and basic infrastructure, food security and sustainable food systems, MSME financing, and affordable housing.

This Framework has been reviewed by a Second Party Opinion (SPO)Provider – Sustainalytics. The SPO has confirmed that the Framework is 'Credible and Impactful' and is aligned with the Sustainability Bond Guidelines 2021, Green Bond Principles 2021, and Social Bond Principles 2021, as administered by International Capital Market Association (ICMA), and Green Loan Principles 2021 and Social Loan Principles 2021, as administered by Loan Market Association (LMA), Asia Pacific Loan Market Association (APLMA), and Loan Syndications and Trading Association (LSTA).The SPO also states that the Bank is well-positioned to address common environmental and social risks associated with projects.

India Exim Bank has been ahead of market peers, in its commitment towards sustainable financing. In March 2015, the Bank launched India’s first USD-denominated 5-year RegS Green Bond. This was also the first benchmark-sized Green bond out of Asia in that year, which matured in April 2020. In 2019, the Bank issued its first ever USD-denominated Socially Responsible Bond.

Ms. Harsha Bangari, Managing Director, India Exim Bank, said “In the evolvinglandscape, ESG issues have dominated the international policy agenda. Finance plays a critical role in channelising such ESG goals.In this backdrop, we are happy to announceour ESG Framework, along with the Second Party Opinion.Such an umbrella framework for ESG bonds and loans will enable the Bank to enhanceits commitment towards sustainable financing in accordance with global best practices.”

As per the Framework, each sustainable financing transaction will adopt procedures for managing the use of proceeds, project evaluation and selection, management of proceeds and reporting. The use of proceeds of such bonds are required to be used exclusively to finance or re-finance, in whole or in part, new or existing eligible Green and/or social projects aligned to ICMA Principles. The Bank has also set up a Sustainable Financing Committee (SFC), including representations from the Bank’s operating, compliance, and legal groups, to evaluate projects that may be eligible under this Framework.

“The ESG Framework is a result of the Bank’s conscious and continuous efforts to evolve in the ESG space. India Exim Bank is committed to broaden its role in the expanding green, social and sustainable bond markets. Going forward the Bank’s annual reporting will also be subject to external verification”, added Shri Tarun Sharma, Chief Financial Officer, India Exim Bank.

The ESG Framework and the SPO may be accessed on the Bank’s website(https://www.eximbankindia.in/esg-framework-details.aspx).The Bank also has in place a Board-approved ESG Policy for Sustainable Development / Responsible Financing. Further, the Bank has also been streamlining its internal operations for ESG-related parameters by taking up energy audits and associated measures for optimising energy consumption.

For further information, please contact
Tarun Sharma
Chief Financial Officer
Export-Import Bank of India
Centre One Building, Floor 21
World Trade Centre Complex
Cuffe Parade Mumbai 400005
Telephone +91-22-22172601
E-mail: tag@eximbankindia.in

Exim Bank forecasts India’s merchandise exports for Q4 (January-March) of FY2022 to amount to US$ 111.3 bn, and non-oil exports to amount to US$ 95.2 bn, with total merchandise exports exceeding US$ 414 bn for FY2022

Export-Import Bank of India (India Exim Bank) forecasts India’s total merchandise exports to continue to cross the US$ 100 bn mark, for the third consecutive quarter in a row, amounting to US$ 111.3 bn, growing at 23%, and non-oil exports to amount to US$ 95.2 bn, growing at 15.8%, during the fourth quarter (January-March) of 2021-22.  This compares to US$ 90.4 bn and US$ 82.2 bn of total exports and non-oil exports, respectively, for the corresponding quarter of the previous year.  The rise in India’s exports could be attributed largely to the continued global growth momentum and the resultant increase in global import demand, along with favourable global commodity prices.  Total merchandise exports for the full year (i.e. 2021-22) are expected to amount to US$ 414.8 bn, growing at 42%, while non-oil exports are expected to amount US$ 353.4 bn, growing at 33%, during the same period.  The growth forecast may be subject to commodity price volatility, and uncertainties in the global economy mainly driven by the current geo-political tension.  

Forecast of growth in India’s total merchandise exports and non-oil exports are released by India Exim Bank on a quarterly basis, during the first week of the months of June, September, December, and March for the corresponding quarters, with continuous improvisation to the model. The forecasts are based on India Exim Bank’s Export Leading Index (ELI) Model, which has shown an upward movement during the same quarter. The next growth forecast for India’s exports for the 1st quarter of FY 2023 (i.e. April-June 2022) would be released during the first week of June 2022.

The model and the forecast results have been reviewed by a standing technical committee of domain experts comprising Professor Saikat Sinha Roy, Professor & Coordinator, Centre for Advanced Studies, Department of Economics, Jadavpur University, Kolkata; Dr. Sarat Dhal, Director, Department of Economic and Policy Research, Reserve Bank of India, Mumbai; Professor N. R. Bhanumurthy, Vice Chancellor, BASE University, Bengaluru; and Professor C. Veeramani, Professor, Indira Gandhi Institute of Development Research (IGIDR), Mumbai.

As part of its continued research initiatives, Exim Bank has developed an in-house model to generate an Export Leading Index (ELI) for India to track and forecast the movement in India’s exports on a quarterly basis. The ELI gauges the outlook for the country’s exports and is essentially developed as a leading indicator to forecast growth in total merchandise and non-oil exports of the country, on a quarterly basis, based on several external and domestic factors that could impact exports of the country.

For further information, please contact:
Mr. David Sinate, Chief General Manager/ Dr. Viswanath Jandhyala, Assistant General Manager, Research & Analysis Group, Export-Import Bank of India, 8th Floor, Maker Chamber IV, Jamnalal Bajaj Marg, Nariman Point, Mumbai 400 021; T: +91-22-2286 0363/ 0310/ 0311 
E: dsinate@eximbankindia.in/ viswanath@eximbankindia.in

Disclaimer: The results presented above could be of interest to policy makers, researchers, and exporters among others.  These are growth forecasts from the Research and Analysis Group of India Exim Bank and do not necessarily reflect the views of India Exim Bank.  The growth forecast for the quarter derived from the Export Leading Index (ELI) model may be subject to commodity price volatility, and uncertainties in the global economy mainly driven by the geo-political tension. The model would undergo continuous improvisation with revision of recent available data and advanced forecasting methodology, incorporating comments, suggestions and feedback from various quarters. Actual exports data are sourced from RBI’s Database on Indian Economy.   

Exim bank, on behalf of the government of India, extends a line of credit [LOC] of USD 500 million to the government of the socialist republic of Sri Lanka

Export-Import Bank of India [Exim Bank] has, on behalf of the Government of India, extended a Line of Credit [LOC] of USD 500 million to the Government of the Socialist Republic of Sri Lanka for financing purchase of Petroleum products.

The LOC Agreement to this effect, was signed by Mr. S. R. Attygalle, Secretary, Ministry of Finance, Government of the Socialist Republic of Sri Lanka and Mr. Gaurav Singh Bhandari, Chief General Manager, Exim Bank, in the presence of the Minister of Finance of Sri Lanka, H.E. Mr. Basil Rajapaksa and the High Commissioner of India to Sri Lanka, H.E. Mr. Gopal Baglay, in Colombo on February 02, 2022.

With the signing of the above LOC Agreement for USD 500 million, Exim Bank, till date, has extended 10 (ten) Lines of Credit to the Government of the Socialist Republic of Sri Lanka, on behalf of the Government of India, taking the total value of LOCs extended to USD 2.18 billion. Projects covered under the LOCs extended to the Government of the Socialist Republic Sri Lanka includes supply of Petroleum products, Railway projects, Defence and Infrastructure Projects. 

With the signing of this LOC Agreement, Exim Bank has now in place 276 Lines of Credit, covering 61 countries in Africa, Asia, Latin America and the CIS, with credit commitments of around USD 27.84 billion, available for financing exports from India. Besides promoting India’s exports, Exim Bank's LOCs enable demonstration of Indian expertise and project execution capabilities in emerging markets.

For further information, please contact
Mr. Gaurav Singh Bhandari, Chief General Manager,
Export-Import Bank of India, Office Block, Tower 1, 7th Floor, Adjacent Ring Road, Kidwai Nagar East, New Delhi-110023. Telephone: +91 11 24607700;
E-mail: eximloc@eximbankindia.in, Website: www.eximbankindia.in

 

Indian Solar Sector: Fostering Growth and Sustainable Development: India Exim Bank Study

The ambitious goal of installing 100 GW solar energy capacity is achievable considering the country’s estimated solar potential of 750 GW, says a study by India Exim Bank.

The study undertaken by the India Exim Bank’s research team analyses recent trends in India’s solar industry including exports over the years. The Study dwells upon the existing support mechanism of the solar industry in the country which has evolved significantly during the last decade, besides highlighting key promotional policies and support programmes in select developed and developing economies, which could provide key policy inputs for India.

The Study was launched at a webinar organised by the Bank on “Indian Solar Sector: Fostering Growth and Sustainable Development” on January 19, 2021.

Welcoming the delegates, Ms. Harsha Bangari, Managing Director, India Exim Bank, stated that the recently launched PLI scheme for the sector has been receiving an impressive response instilling fresh hope to the policy makers as well as the solar players in the country. While delivering the Special Address, Ms. Gauri Singh, Deputy Director General, IRENA, stressed upon the significance of the solar energy in Indian scenario and the role it can play in achieving India’s COP26 renewable energy targets.

A Round Table Discussion on the topic was moderated by Mr. N Ramesh, Deputy Managing Director, India Exim Bank, with the participation of experts from prestigious institutions such as International Solar Alliance (ISA), Indian Renewable Energy Development Agency (IREDA), ADB, NDB, among others.

The Study assumes importance given the recently concluded COP26. India, as well as many developing countries are vulnerable to climate change, and are taking several mitigation actions. To follow a sustainable path to development, India envisions a ‘One Sun, One World, One Grid' that would have a worldwide solar power grid which can ensure clean energy everywhere, every time.

The paper also analyses the global finance trends to the solar energy in the recent past and the importance being given by the global financial institutions and multilateral development banks to the solar sector.

To upscale the solar energy in India, the Study by India Exim Bank suggests a host of strategies such as increasing the access to finance, promoting floating solar power, addressing the land issues, integrating solar power with electric vehicles, RPO compliance, among others.

For further information, please contact
Mr. S Prahalathan, Chief General Manager, Research & Analysis Group
Export-Import Bank of India, Floor 8, Maker Chambers IV, Nariman Point Mumbai 400 021. Telephone: +91 22-2286 0333, E-mail: prahalathan@eximbankindia.in

India Exim Bank set for ARR

Export-Import Bank of India (India Exim Bank) is set to begin the new year with transactions in Alternate Reference Rates (ARR). With the cessation of LIBOR, the Bank is ready for conducting its daily operations in ARR.

In 2017, the UK Financial Conduct Authority announced that the underlying markets upon which LIBOR is derived were insufficiently active to offer a sustainable interest rate benchmark. Following which it announced that all LIBOR settings will either cease to be provided by any administrator or no longer be representative from December 31, 2021. Accordingly, regulators consistently guided financial markets to transition both new products and existing contracts to alternate benchmark rates.

As India’s premier export finance institution, India Exim Bank, which offers Indian companies a comprehensive range of products and services to enhance their international competitiveness, has a substantially dollarised balance sheet directly or indirectly linked to LIBOR. Accordingly, the Bank has taken significant steps towards migrating to alternate benchmark rates and has made significant progress in this regard.

As a preliminary step, India Exim Bank has been continuously monitoring its exposures linked to LIBOR. The Bank also set up an internal multi-disciplinary Steering Committee for LIBOR Transition, to ensure the smooth transition and systematic implementation of ARRs into the Bank’s Business. Subsequently, the Bank’s Board also approved a policy framework to address the risks arising from LIBOR transition.

Presently, the Bank is in advance stages of renegotiating and updating its underlying financial contracts and arriving at an ARR for continuation of the existing contracts and transactions. The Bank has upgraded its IT systems for addressing any issues arising out of this transition, particularly in derivative, borrowing and lending transactions, thereby also enabling the Bank to undertake fresh ARR linked transactions. 

Further, to ensure the smooth transition, India Exim Bank has also adhered to the ISDA 2020 IBOR Fallbacks protocol. With this, the risk of transition to alternate benchmark for derivative contracts is expected to be minimal.

In its endeavour to constantly spread awareness about the transition and to support its existing and new customers, India Exim Bank published general FAQs (Click here). The Bank has also started offering ARR-based products through its domestic and foreign offices. For instance, recognising the significance of ARR, the Bank in July 2021, started the ARR journey by executing a GBP loan transaction, with pricing linked to Overnight SONIA (Sterling Overnight Interbank Average Rate). With this transaction, India Exim Bank, became one of the first few banks in India to transact in SONIA-linked loans. 

For further information, please contact
Mr. Tarun Sharma
Chief Financial Officer
Export-Import Bank of India
Centre One Building, Floor 21
World Trade Centre Complex
Cuffe Parade
Mumbai 400005
Telephone +91-22-22172601
E-mail: tag@eximbankindia.in

 

Exim Bank forecasts India’s merchandise exports for Q3 (October-December) of FY2022 to amount to US$ 105.8 bn, and non-oil exports to amount to US$ 89.1 bn

Export-Import Bank of India (India Exim Bank) forecasts India’s total merchandise exports to continue to cross the US$ 100 bn mark, for the second consecutive quarter in a row, amounting to US$ 105.8 bn, growing at 39.6%, and non-oil exports to amount to US$ 89.1 bn, growing at 26.8%, during the third quarter (October-December) of 2021-22.  This compares to US$ 75.8 bn and US$ 70.3 bn of total exports and non-oil exports, respectively, for the corresponding quarter of the previous year.  The rise in India’s exports could be attributed largely to the continued growth momentum in advanced economies and the resultant increase in global import demand, along with favourable global commodity prices.  

Forecast of growth in India’s total merchandise exports and non-oil exports are released by India Exim Bank on a quarterly basis, during the first week of the months of June, September, December, and March for the corresponding quarters, with continuous improvisation to the model. The forecasts are based on India Exim Bank’s Export Leading Index (ELI) Model, which has shown an upward movement during the same quarter. The next growth forecast for India’s exports for the 4thquarter i.e. January-March 2022 would be released during the first week of March 2022.

The model and the forecast results have been reviewed by a standing technical committee of domain experts comprising Professor Saikat Sinha Roy, Professor & Coordinator, Centre for Advanced Studies, Department of Economics, Jadavpur University, Kolkata; Dr. Sarat Dhal, Director, Department of Economic and Policy Research, Reserve Bank of India, Mumbai; Professor N. R. Bhanumurthy, Vice Chancellor, BASE University, Bengaluru; and Professor C. Veeramani, Professor, Indira Gandhi Institute of Development Research (IGIDR), Mumbai.

As part of its continued research initiatives, Exim Bank hasdeveloped an in-house model to generate an Export Leading Index (ELI) for India to track and forecast the movement in India’s exports on a quarterly basis.The ELI gauges the outlook for the country’s exports and is essentially developed as a leading indicator to forecast growth in total merchandise and non-oil exports of the country, on a quarterly basis, based on several external and domestic factors that could impact exports of the country.  

For further information, please contact:
Mr. David Sinate, Chief General Manager/ Dr. Viswanath Jandhyala, Assistant General Manager, Research & Analysis Group, Export-Import Bank of India, Centre One Building, Floor 21, World Trade Centre, Cuffe Parade, Mumbai – 400005; T: +91-22-2286 0363/ 0310/ 0311
E: dsinate@eximbankindia.in/ viswanath@eximbankindia.in

Disclaimer: The results presented above could be of interest to policy makers, researchers, and exporters among others.  These are growth forecasts from the Research and Analysis Group of India Exim Bank and do not necessarily reflect the views of India Exim Bank.  The growth forecast for the quarter derived from the Export Leading Index (ELI) model may be subject to commodity price volatility, uncertainties in the global economy mainly driven by the global pandemic.The model would undergo continuous improvisation with revision of recent available data and advanced forecasting methodology, incorporating comments, suggestions and feedback from various quarters. Actual exports data are sourced from RBI’s Database on Indian Economy.

 

Transition towards a Stable Trade Policy Regime is a gamechanger for Agri Exports from India: India Exim Bank Study

Agriculture policies in India have been focusing on raising farm output to achieve self-sufficiency, reduce import dependency and ensure food security. Driven by these primary objectives, there has been a tendency to utilize trade policy as an instrument to attain short term goals of price stabilization in India. According to a recent Study by India Exim Bank, recently there has been a shift in the Government of India’s stance from the one characterized by intermittent restrictions to the one committed towards maintaining a stable trade policy regime to help India emerge as a reliable supplier.

India Exim Bank’s study titled “Promoting Agriculture Exports from India” was released during a webinar titled “Agriculture Exports from India: Prospects and Opportunities” on November 12, 2021, hosted by India Exim Bank as part of the Azadi ka Amrit Mahotsav initiative to commemorate 75 years of Independence. The webinar had speakers from India Exim Bank, Ministry of Commerce and Industry, Government of India, Agricultural and Processed Food Products Export Development Authority (APEDA), experts from academia and representatives from agri-businesses. The webinar was attended by more than 150 participants.

India Exim Bank’s study notes that India was the 14th largest exporter of agriculture and allied products in the world in 2019, with exports valued at US$ 34.8 billion. Exportable surplus from the agriculture sector in India has increased gradually, leading to a positive and increasing trade balance in agricultural trade. However, despite having a large area under cultivation and being the largest producer country in many agricultural commodities, India’s share in global exports of several agricultural commodities is low. For example, while India ranks 2nd in the global wheat production, it ranks 34th in global exports of wheat. India also ranks 2nd in the global vegetables production but ranks 14th in exports of these products. Similarly, in Fruits, India ranks 3rd in global production, but 22nd in the global exports. Geographically smaller countries like Belgium, Italy and the Netherlands have much higher agricultural exports than India.

India Exim Bank study benchmarks the agricultural policies in India with those in other developed and developing market, identifies the best practices and makes recommendations for strengthening the landscape for agricultural exports from the country. The strategies, inter alia include quality upgradation as per the export market requirements, revamping of cold storage and reefer infrastructure through adoption of high-end technologies, ensuring WTO compatibility of schemes, adoption of PPP model in the agriculture sector, building brand India, strengthening institutional farm credit delivery, convergence of different Government Schemes, among others. The Study also underscored the need for a unified body to deal with market access issues for trade in agricultural products. 

In her address during the webinar, Ms. Harsha Bangari, Managing Director, India Exim Bank highlighted the support of India Exim Bank to the technopreneurs in the agriculture sector, and underscored the importance of technological interventions in propelling exports from the sector. Mr. N. Ramesh, Deputy Managing Director, India Exim Bank highlighted how India’s agricultural sector is shedding its image of a low growth sector to emerge as the silver lining for the economy. During the panel discussion moderated by Mr. N. Ramesh, panellists deliberated upon the issues faced by agricultural exports, and the strategies for enhancing India’s agricultural trade for achieving the agricultural export target of US$ 100 billion. During the plenary session, Dr. C. Vanlalramsanga, Economic Adviser, Department of Commerce, Ministry of Commerce and Industry highlighted the robust growth of agricultural exports from India during the recent period, and the initiatives taken by Government of India to help the sector.  Dr. Devesh Roy, Senior Research Fellow, International Food Policy Research Institute discussed the significant untapped potential in exports from the sector, highlighted the agricultural policies in other countries, and recommended strategies for enhancing India’s exports from the sector. Dr. Tarun Bajaj, Director, APEDA informed participants about the role of APEDA in ensuring that agricultural exports remained resilient even during the pandemic and encouraged more agri businesses to tap the international market. The webinar also had speakers from agri business who highlighted some of the key aspects for improving competitiveness of agricultural products in the international market, including the need for strengthening agri value chain integration and building brand value.

For further details please contact: Mr. S Prahalathan, Chief General Manager, Export-Import Bank of India, Centre One Building, Floor 21, World Trade Centre Complex, Cuffe Parade, Mumbai 400 005. Telephone: +91-22- 2286 0333; E-mail: prahalathan@eximbankindia.in 

India Exim Bank rings the bell with AFRINEX for listing of USD 1 billion10-year bond

India Exim Bank listed its USD 1 billion 10-year bond on AFRINEX at a virtual listing, during the Launching Ceremony of AFRINEXon October 25, 2021.Hon’ble Mr. Pravind Kumar Jugnauth, Prime Minister of the Republic of Mauritius, Her Excellency Mrs. K. Nandini Singla, High Commissioner of India to Mauritius, and Ms. Harsha Bangari, Managing Director, Export-Import Bank of India,rang the digital bell on AFRINEX, thus, celebratingthe launch of AFRINEX with its inaugural listing of India Exim Bank’s USD 1 billion 10-year Bond.

[Photo Caption:Hon’ble Mr. Pravind Kumar Jugnauth, Prime Minister of the Republic of Mauritius; Her Excellency Mrs. K. Nandini Singla, High Commissioner of India to Mauritius; and Ms. Harsha Bangari, Managing Director, Export-Import Bank of India (on screen)]

India Exim Bank’s USD 1 billion 10-year Bond, issued in January 2021, was the fourth transaction of the Bank in the 144A/Reg S format. The transaction at a coupon of 2.25% p.a. marked a record low for any Indian issuer for a 10-year USD issuance. This issue was 3.5 times oversubscribed by several high-quality investors. The Bank, which has a substantially dollarized balance sheet, is one of the largest Indian issuers of long-term debt in the international debt capital markets and its paper is treated as quasi-sovereign. The funds thus raised have been used by the Bank to support Indian project exports, overseas investments by way of long-term credit and its export lines of credit portfolio. This listing is India Exim Bank’s maiden foreign currency bond bell ringing on AFRINEX. India Exim Bank’s bonds are also listed on Singapore Exchange Securities Trading Limited (SGX-ST), London Stock Exchange’s International Securities Market (LSE-ISM), and India International Exchange (IFSC) Limited (India INX).

Congratulating AFRINEX the Hon’ble Prime Minister mentioned, “It is with a deep sense of satisfaction and pride that I join you all this morning for the launch of AFRINEX. We are having another Securities Exchange after almost 30 years, this testifies that our capital market is expanding and deepening while assuming a larger role in the development and integration of the regional capital market. AFRINEX will certainly contribute to further establish Mauritius among the newly developed emerging capital markets of the region.”

Commenting on the successful launch and the listing, Her Excellency Mrs. K. Nandini Singla, High Commissioner of India to Mauritius, said “As a Pan-African Exchange based out of Mauritius, AFRINEX can be a game changer not only for Mauritius but also Africa and beyond. An International Financial Centre of tomorrow will no longer be about physical infrastructure, but more about offering a transaction platform that seamlessly capture global financial transactions in investment and trade. The launch of AFRINEX opens the door to the possibility of deeper financial and economic engagement between Mauritius and India.”

Speaking on the occasion, Ms. Krishna Gangopadhyay, CEO & MD AFRINEX mentioned “We welcome Exim Bank of India as our first issuer on Securities Official List.  It offers testimony to the flexibility and agility of our listing platform Securities Official List, and also comfort that sovereign issuers draw from the transparency and robustness of our rules.”

Ms. Harsha Bangari, Managing Director, India Exim Bank, said “Today is a momentous occasion marking the launch of AFRINEX. It is also a proud moment for us at India Exim Bank to list our USD 1 billion Exim 2031 bond as the inaugural listing on AFRINEX. The AFRINEX will serve as a gateway for broadening the investor base of issuers in the African continent, along with that of the world”

AFRINEX is an initiative by the Government of Mauritius to set up a pan-Africa Exchange and become an International Financial Centre. The initiative is supported by the Government of India, and BSE Technologies Ltd. is the technology and skill partner of the exchange. The objective of AFRINEX is to offer a primary market platform and efficient price discovery at an optimal cost.

India Exim Bank, set up in 1982, aims to promote India’s international trade and investment. The Bank offers Indian companies a comprehensive range of products and services, supported by analysis and research, with a view to enhancing their international competitiveness. The Bank actively supports Indian exporting companies, especially medium-sized enterprises, in their globalisation efforts through a variety of lending programmes.

For further information, please contact
Mr. Tarun Sharma
Chief Financial Officer
Export-Import Bank of India
Centre One Building, Floor 21
World Trade Centre Complex
Cuffe Parade
Mumbai 400005
Telephone +91-22-22172686
E-mail: tag@eximbankindia.in