Hotline: 1800 102 2007
X
Search Business Opportunities
2012-06-19

RBI increases export credit flow to help MSME exporters

The Reserve Bank of India’s (RBI) decision to increase the limit of Export Credit Refinance (ECR) for banks would provide increased lending to exporters in the micro, small and medium enterprises (MSME) export sector.

The Reserve Bank of India’s (RBI) decision to increase the limit of Export Credit Refinance (ECR) for banks would provide increased lending to exporters in the micro, small and medium enterprises (MSME) export sector.

M Rafeeque Ahmed, President, Federation of Indian Export Organisations (FIEO) said that the move would help banks to replenish the funds earmarked for the MSME export sector and ensure that funds are easily available to the sector in adequate measure.

RBI increased the limit of ECR facility for banks from 15 per cent of the outstanding export credit eligible for refinance to 50 per cent.

While relaxing norms to enhance credit flow to exporters, the Reserve Bank on Monday said the sliding rupee will benefit exports that have been hit by demand slowdown in developed nations.

Exports have been hit due to demand slowdown in the developed markets and contracted by 4.17 per cent in May.

The rate of interest charged on the ECR facility will continue to be the prevailing repo rate under the Liquidity Adjustment Facility (LAF), which is 8 per cent. The new limit will be effective from June 30.

Related opportunities
  • About Us    M/S Tanmay Bohra Car Rental Pvt. Ltd. holds a..
    Locations looking for expansion Delhi
    Establishment year 2016
    Franchising Launch Date 2018
    Investment size Rs. 10lac - 20lac
    Space required 800
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater New delhi Delhi
  • Robotics & Technical Training
    IndiaFIRST™ ROBOTICS - a name known for India’s First ever Modular robots..
    Locations looking for expansion Maharashtra
    Establishment year 2009
    Franchising Launch Date 2013
    Investment size Rs. 50 K - 2lac
    Space required 800
    Franchise Outlets -NA-
    Franchise Type Unit, Multiunit
    Headquater Pune Maharashtra
  • Laundry & Dry Cleaning
    About Us: Established in 2012, Western Dhobi Grandeur is an innovative..
    Locations looking for expansion Maharashtra
    Establishment year 2012
    Franchising Launch Date 2017
    Investment size Rs. 20lac - 30lac
    Space required 200
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater PUNE Maharashtra
  • EmployRoll, an industry leading SaaS product introduced by Thimbmatic Solutions..
    Locations looking for expansion Delhi
    Establishment year 2017
    Franchising Launch Date 2018
    Investment size Rs. 20lac - 30lac
    Space required 600
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater New delhi Delhi
Insta-Subscribe to
The Franchising World
Magazine
For hassle free instant subscription, just give your number and email id and our customer care agent will get in touch with you
OR Click here to Subscribe Online
Daily Updates
Submit your email address to receive the latest updates on news & host of opportunities

Free Advice - Ask Our Experts