~1~ A Project on

EXIM BANK
In the subject of International Marketing Submitted to Uni ersit! of Mumbai "or Semester III of Master of #ommerce B! Shruti $ikram %Management &'() Under the *uidance of Prof +r,Anu-ama Nerurkar .ear /0&' 1 /0&2

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e-mail :contactus@gmail.com, degree.office@gmail.com Website : www.lsra e!a.org.in Tel. : 26609320

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+E#3A4A5I6N B. 57E S5U+EN5

*, Shruti $ikram student of M #om Part8II /oll &umber &'( ereb< declare t at t e =ro!ect for t e >a=er International Marketing "ubmitted b< me for "emester 9** during t e academic <ear 2013-1:, is based on actual wor? carried out b< me under t e guidance and su=er@ision of Prof +r Anu-ama Nerurkar. * furt er state t at t is wor? is original and not submitted an<w ere else for an< eAamination.

Signature of Student

E$A3UA5I6N #E45I"I#A5E
T is is to certif< t at t e undersigned a@e assessed and e@aluated t e =ro!ect on EXIM Bank submitted b< Shruti $ikram student of 3 )om **. T is =ro!ect is original to t e best of our ?nowledge and as been acce=ted for *nternal #ssessment.

Internal E9aminer

E9ternal E9aminer

Princi-al

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3, S, 4A7E:A #633E*E 6" A45S ; #6MME4#E Internal Assessment< Project 20 Marks

Name of the Student
"irst name < " ruti 3 )+3 >#/T ** Surname < Bi?ram 3anagement 13C

#lass

+i ision

4,N6

"ather=s Name<

Subject< *nternational 3ar?eting 5o-ic for the Project< 'D*3 4an?

Marks A>arded Signature +6#UMEN5A5I6N Internal E9aminer %6ut of &0 Marks) E9ternal E9aminer %6ut of &0 Marks) Presentation %6ut of &0 Marks) $i a and Interaction %6ut of &0 Marks)

565A3 MA4KS %6ut of 20)

IN+EX

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#7AP5E4 1

#6N5EN5S Introduction >rofile 4usiness >rofile +rgani6ation culture

PA*E N6 ?

"inance b! E9im 1uidelines on >ro!ects E "er@ices 'A=ort 2unded 2inancing &on- funded ser@ices

/&

3 : ;

Ser ices rendered b! E9im #d@isor< )onsultant Fnowledge 4uilding /esearc "tudies *nformation "er@ices >romotional >rograms #onclusions Bibliogra-h!

2/

@0 @/

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ACKNOWLEDGEMENT

* am t an?ful to e@er<one w o su==orted me to com=lete m< =ro!ect effecti@el< and moreo@er, on time.

* am eGuall< grateful to m< >rofessor #nu=ama &erur?ar. " e ga@e me moral su==ort and guided me in different matters regarding t e to=ic. " e as been @er< ?ind and =atient, w ilst suggesting to me t e outlines of t is =ro!ect, and correcting m< doubts. * t an? er for er o@erall su==ort.

.ast but not t e least, * would li?e to t an? m< mot er and m< usband w o el=ed me a lot in gat ering different information, collecting data and guiding me from time to time in com=leting t is =ro!ect. $es=ite t eir bus< sc edules, t e< ga@e me different ideas to el= ma?e t is =ro!ect uniGue.

T an?ing <ou " ruti Bi?ram 3.)om 9 ** Hmanagement - 13CI

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#ha-ter I Introduction to EXIM Bank Profile of EXIM Bank T e 'A=ort-*m=ort 4an? of *ndia 7'Aim 4an?8 com=leted 2: <ears of o=erations in 3arc 2006. *t was establis ed b< an #ct of >arliament ?nown as t e 'A=ort-*m=ort 4an? of *ndia #ct 19J1 and commenced o=erations in 3arc 19J2. 'Aim 4an? is w oll< owned b< t e 1o@ernment of *ndia. 'Aim 4an? was set u= for t e =ur=ose of financing, facilitating and =romoting foreign trade in *ndia and also to =ro@ide financial assistance to eA=orters and im=orters and for functioning as t e =rinci=al financial institution for coordinating t e wor?ing of institutions engaged in financing eA=ort and im=ort of goods and ser@ices wit a @iew to =romoting t e countr<-s international trade. *t as a ig -=owered 4oard of $irectors com=rising: # $e=ut< 1o@ernor of /eser@e 4an? of *ndia, ) airmen of *$4*, ')1), /e=resentati@es of t e 3inistries of 2inance, )ommerce, *ndustr<, 'Aternal #ffairs and >lanning, ) airmen of sc eduled ban?s and =rofessionals from trade and industr<. +@er t e <ears, 'Aim 4an? as de@elo=ed 3; lending =rogrammes co@ering all stages of t e eA=ort c<cle namel< *m=ort of Tec nolog<, 'A=ort >roduct $e@elo=ment, 'A=ort >roduction, 'A=ort 3ar?eting , >re-s i=ment, >ost-s i=ment, *n@estment #broad

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EXIM BANK << 6B:E#5I$ES

AB for -ro iding financial assistance to e9-orters and im-ortersC and for functioning as the -rinci-al financial institution for coordinating the >orking of institutions engaged in financing e9-ort and im-ort of goods and ser ices >ith a ie> to -romoting the countr!=s international tradeBD

AB shall act on business -rinci-les >ith due regard to -ublic interestD < 5he E9-ort8Im-ort Bank of India ActC &EF&

E ol ing $ision

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E ol ing $ision

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*enesis

SE5 UP B. AN A#5 6" PA43IAMEN5 IN SEP5EMBE4 &EF& G7633. 6GNE+ B. *6$E4NMEN5 6" IN+IA #6MMEN#E+ 6PE4A5I6NS IN MA4#7 &EF/

6ffices

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7ead office 8Mumbai A net>ork of &2 offices in India and 6 erseas $omestic +ffices: # medabad, 4angalore, ) ennai, 1uwa ati, %<derabad, Fol?ata, 3umbai, &ew $el i, >une.

+@erseas +ffices:

4uda=est, 0o annesburg, .ondon, "inga=ore, Was ington $).

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%ead +ffice )entre +ne 4uilding, 2loor 21, World Trade )entre )om=leA, )uffe >arade, 3umbai :00 00;. > one: 221J;2C2, 2aA: 221J2;C2 '-mail: eAimcord@@snl.com

"inancial 7ighlights /00080& /00&80/ /00/80' /00'802 /00280@

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>aid u= )a=ital /eser@es &et >rofit $i@idend .oan +utstanding "taff 7&umbers8 ;:9.99 1,066.3J 1;:.1: 3J.00 ;,6::.30 1;: 6:9.99 1,202.6: 1C1.16 :2.00 6,J26.00 163 6:9.99 1,31C.09 206.60 :;.00 J,CC3.6: 16C 6:9.99 1,:93.30 229.23 :C.00 10,CC;.11 190 J:9.99 1,662.;0 2;C.91 6;.:: 13,:10.39 193

E9im Bank 8 Business Profile

57E 6PE4A5I6NS A4E *46UPE+ AS BE36G< K EXP645 #4E+I5S

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4an? =ro@ides eA=orts of *ndian mac iner<, manufactured goods, consultanc< and tec nolog< ser@ices on deferred =a<ment terms

.ines of creditLbu<erMs credits are eAtended to o@erseas entities i.e. go@ernments, central ban?s, commercial ban?s, de@elo=ment finance institutions, regional de@elo=ment ban?s for financing eA=ort of goods and ser@ices from *ndia

1. >ro!ect 2inance 2. Trade 2inance K EXP645 #APABI3I5. #4EA5I6N

'A=ort >roduct $e@elo=ment 'A=ort 3ar?eting 2inance 'A=ort +riented (nits 1. >ro!ect 2inance 2. Wor?ing )a=ital 3. >roduction 'Gui=ment 2inance

'uro=ean )ommunit< *n@estment >artners 7')*>8 #sian )ountr< *n@estment >artners 7#)*>8 +@erseas *n@estment 2inance 'A=ort 2acilitation >rogrammes 1. "oftware Training *nstitutes 2. 3inor >orts $e@elo=ment

K EXP645 SE4$I#ES

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*n addition to finance, 4an? =ro@ides a range of information and ad@isor< ser@ices to *ndian com=anies to su==lement t eir efforts aimed at globali6ation of *ndian business.

K SUPP645IN* *46UPS >lanning E /esearc )or=orate 2inance .egal )or=orate #ffairs %uman /esource 3anagement 'stablis ment

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64*ANISA5I6NA3 #U35U4E

4an? offers a congenial and c allenging wor? en@ironment. "alient features of t e wor? en@ironment are em= asis on office automation, an o=en office s<stem, an inde=endent MdoerMsM wor? culture, minimi6ation of ierarc ical constraints in organisational functioning, and multi-disci=linar< in=uts in decision ma?ing.

"?ill u=gradation is a continuing =rocess in t e 4an?. 4an?Ms =rofessionals undergo training in areas of rele@ance to t e 4an? in *ndia and abroad.

T e training =rogrammes are c osen and designed to de@elo= tec nical and managerial s?ills in t e =rofessionals and an abilit< to initiate and inno@ate.

SiHe and Nature *n com=arison wit ot er organisations wit similar asset le@els, 'Aim 4an?Ms staff strengt is lean. #s of 3arc , 200;, total =ersonnel in t e 4an? numbered 193. %ig l< automated office s<stems ensure t at =ersonnel are eGui==ed wit timel< and com=lete information and streamlined wor? =rocesses. T e uman resources of t e 4an? include 139 =rofessionals w o are drawn from a @ariet< of bac?grounds embod<ing @arious disci=lines w ic are reGuired for t e 4an?Ms functions. T e< include ban?ers, business sc ool graduates, c artered accountants, economists, engineers and com=uter s=ecialists. Nature of >ork /ig t from its ince=tion, 'Aim 4an? as attac ed a great deal of im=ortance to a congenial and c allenging wor? en@ironment. T e ob!ecti@e as been to ac ie@e

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eAcellence in its area of o=erations, not onl< in com=arison wit national

organisations but also in a global conteAt. T e ban? as a =ri@ate sector wor? et ic, w ile drawing u=on t e ad@antages t rown u= b< wa< of its =ublic sector owners i=. #n im=ortant reason for t is as been t e relati@el< <oung age of t e organisation w ic enabled t e 4an? to cast itself in a different mould rig t from ince=tion wit out being saddled wit a legac< of outmoded wor? =ractices. "ome salient features of t e wor? en@ironment are t e em= asis on office automation, an o=en office s<stem, an inde=endent NdoerMsN wor? culture, minimi6ation of ierarc ical constraints in organisational functioning, and multi-disci=linar< in=uts in decision ma?ing. 'Aim 4an? is an officer oriented organisation. +fficers wor? inde=endentl< and self-sufficientl< in all t e acti@ities t at t eir !ob entails. # sense of toget erness and common =ur=ose is soug t to be fostered b< t e 4an?Ms in- ouse =ublication 'Aimius, and t e annual staff get-toget er. T e 'minent >ersons .ecture "eries brings =ersons w o a@e ac ie@ed eminence in di@erse fields to interact and s are t eir eA=erience wit officers. +egree of Em-hasis 'Aim 4an? o=erates at t e frontier of a@ailable office automation and tec nolog<. T e 4an? belie@es t at uman resources s ould =rimaril< be utili6ed for acti@ities t at reGuire ?nowledge, s?ills, anal<sis and discretionar< c oices. #n arra< of state-of-t e-art com=uter ardware, software, and telecommunications are

a@ailable to t e 4an?Ms =ersonnel. 3embers of t e staff ma?e use of t ese facilities to t e fullest eAtent feasible not onl< for non-discretionar< acti@ities but also as necessar< tools for o=timi6ing t eir wor? out=ut bot in terms of Guantit< and

Gualit<. T e lean staff strengt ma?es it =ossible for t e 4an? to =ro@ide eac officer

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wit isL er own =ersonal com=uter as well as unlimited access to office automation

and tec nolog<.

Multi8disci-linar! in-uts T e com=leAit< of t e 4an?Ms functions reGuires cross-disci=linar< in=uts for effecti@e and correct decision-ma?ing. T us, all im=ortant decisions are ta?en wit t e aid of in=uts from rele@ant s=ecialists wit in t e 4an?. T is enables a com=re ensi@e micro and macro le@el assessment of ris?s and rewards. T roug t is =rocess of collegiate decision ma?ing, team wor? and inter =ersonal s?ills are de=lo<ed to t e fullest eAtent so as to ma?e o=timum use of t e 4an?Ms di@erse uman resources.

6bjecti e of the .oung Professionals Programme T e ,oung >rofessionals >rogramme is t e entr<-=oint for a career wit 'Aim 4an?. T e 4an? reGuires s?ills relating to @arious disci=lines e.g. business management, ban?ing, economics, accountanc< and engineering. >rior wor? eA=erience is neit er eA=ected, nor considered necessar<. /ig t from t e @er< first <ear, <oung =rofessionals will be wor?ing inde=endentl< on c allenging assignments. T e ,oung >rofessionals >rogramme offers an eAciting and c allenging career to t ose wit t e ca=abilit< and desire to o=erate at t e cutting edge of *ndiaMs globali6ation =rocess.

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3ong8term career -ros-ects 'Ace=t for t ose =ositions w ere ig l< s=eciali6ed s?ills are needed, t e 4an? does not normall< recruit directl< to ig er =rofessional =ositions. T us, <oung =rofessionals w o are committed to a long-term career in t e ban? can eA=ect to rise to t e u==er ec elons of t e 4an?Ms management in due course of time. )areer growt is determined b< =erformance and merit, based on an ob!ecti@e and structured s<stem of e@aluation. T e 4an? antici=ates a ma!or eA=ansion and di@ersification of its acti@ities in t e medium and long run, largel< because of t e o==ortunities arising from *ndiaMs ongoing globali6ation efforts. T erefore, <oung =rofessionals can loo? forward to a fruitful career wit t e 4an?. 5raining Programme 1i@en t e com=leAit< of t e 4an?Ms o=erations, as reflected b< t e man< s=eciali6ed grou=s and wor?-s?ills, <oung =rofessionals need to s=end time gaining eA=osure and ?nowledge of t e @arious acti@ities and s?ills utili6ed in t e 4an?. T is is es=eciall< necessar< because efficient decision ma?ing in t e 4an? reGuires ?nowledge of a @ariet< of s?ills and =ractices. Wor?ing wit @arious grou=s, <oung =rofessionals become full< con@ersant wit all t e critical functions and acti@ities. T e< are also acti@el< in@ol@ed in a==ro=riate assignments entailing indi@idual res=onsibilit<. T e 4an? is uniGue in its global and national networ? of institutional and =rofessional lin?ages. T e fi@e o@erseas offices - at Was ington $.)., "inga=ore, 4uda=est, .ondon and 0o annesburg a@e el=ed forge strategic institutional

lin?ages for t e 4an? wit multilateral agencies suc as 3ultilateral *n@estment

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1uarantee #genc<, World 4an?, #sian $e@elo=ment 4an?, #frican $e@elo=ment 4an?, 'A=ort )redit #gencies, Trade and *n@estment >romotion #gencies abroad. T e 4an?Ms eAtensi@e global networ?, su==orted b< t e *ndian 3issions abroad facilitates interaction wit suc agencies and o=ens u= new o==ortunities for

?nowledge building and u=gradation of s?ills. .earning o==ortunities are created for officers b< wa< of =artici=ation in seminars and eA ibitions 7in *ndia and abroad8 s=onsored b< t e 4an?, wit a @iew to =re=aring t em to =erform roles L !obs w ic t e< ma< be reGuired to ta?e u= in t e future as t e< go u= in t e organisational ierarc <, or if t e 4an? is @enturing into new areas t roug !oint @entures or eA=ansion. "tate-of-t e-art training in ig l< s=eciali6ed areas is furt ered b< t e new initiati@es of t e 4an?, establis ing lin?s wit multilateral agencies suc as 3*1#, *2) Was ington and t e World 4an?. "=ecial =rogrammes organi6ed in coordination wit t ese agencies are customi6ed to meet t e s=ecific reGuirements of t e 4an?.

Salar! $uring t e training =eriod, <oung =rofessionals are =aid a mont l< sti=end of /s. 1;,000L-. T ereafter, u=on absor=tion as 3anager, salaries would corres=ond to t e scale for t is cadre. )urrentl<, gross emoluments at t e minimum of t e scale amount to about /s. 1C,900L-. N$earness #llowance,N w ic constitutes a com=onent of salaries, c anges at Guarterl< inter@als to reflect mo@ements in t e =rice indeA. T erefore, actual salaries in t e scales alter =eriodicall<.

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PerIuisites #=art from t e salar<, t e 4an? =ro@ides attracti@e =erGuisites, t e monetar< eGui@alent of w ic is considerable, in relation to t e salar<. # ma!or =erGuisite w ic t e 4an? endea@ours to =ro@ide to <oung =rofessionals is furnis ed bac elor accommodation, based on need and sub!ect to a@ailabilit<. *ndi@idual rooms in t e 4an?Ms furnis ed flats wit common ?itc en and lounge are allotted to <oung

=rofessionals w ere@er =ossible. (ntil now, all <oung =rofessionals !oining t e 4an? a@e been =ro@ided wit accommodation. #s regards famil< accommodation, t e 4an? can consider t e same sub!ect to a@ailabilit<. #not er @aluable =erGuisite is t e sc eme for reimbursement of fees for t e =ur=ose of acGuisition of s?ills considered useful to t e 4an? - for instance, com=uter s?ills, foreign languages.

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Eximius Display Centre 4an? offers to *ndian com=anies, =roduct dis=la< facilities of international standards in *ndia and abroad $is=la< centre at t e %ead office was set u= in mid 199:. )entre eA ibits range of =roducts manufactured and eA=orted b< *ndian com=anies to discerning mar?ets including ("# and 0a=an #round ;0 com=anies w ose =roducts are dis=la<ed at %.+ are among t e fi@e undred t at a@e been financed and nurtured b< 4an? T e =roducts re=resent t ree broad categories: industrial =roducts, consumer durables and consumer =roducts +ur offices in 4uda=est and .ondon a@e dis=la< centers w ic allow *ndian com=anies to dis=la< t eir =roducts for longer =eriods Eximius Centre for Learning: A Place of Global Excellence 57E #6N#EP5

'Aimius, from t e .atin language means Mset a=art and eminentM. *t is 'AimMs initiati@e addressed at en ancing t e ca=abilities of t e industrial and financial communities in *ndia and ot er de@elo=ing countries, and bringing =ro=osals of trade and in@estment to t em. *t offers t em access to contem=orar< t in?ing in international trade and finance, entr< to mar?ets and tec nologies, and su==ort in !oining t e global econom<.

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T e =rogrammes are result-oriented and =ractical, designed to ensure t at concrete outcomes emerge from e@er< meeting.

T e e@entual aim is to establis

an international

ub of information

interc ange between industries and institutions, and amongst industries in different countriesO a beacon for all de@elo=ing counties and a =lace of global eAcellence, in learning and in business. A#5I$I5IES

T e )entre aims to ?ee= t e com=anies, w ic wants to go global, abreast of t e c anging global scenario. *t conducts two e@ents @i6., organi6es meeting between industr< grou=s in different countries and business=ersons in *ndia, and in@ol@es s?ill building t roug interacti@e wor?s o=s and seminars t at in@ol@e t e =artici=ant in t e learning =rocess t us en ancing t e com=etencies of t e =artici=ants. NBirtual 2acult<N- a conce=t w ic enables it to source t e best a@ailable instructors to address t e issues of t e da<.

T e )entre

as tailor-made courses for t e officials of t e eA=ort credit as also olds in- ouse

agencies in ot er de@elo=ing countries. *t =rogrammes.

#=art from organi6ing t e abo@e =rogrammes, it also conducts researc on issues of im=ortance to its constituenc< t at focuses on generating information, its usefulness and its immediate im=lementation wit in reasonable time frame.

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#ha-ter II "inance b! EXIM Bank 'D*3 *&$*# offers a range of financing =rogrammes t at matc t e menu of 'Aim 4an?s of t e industriali6ed countries. %owe@er, t e 4an? is at<=ical in t e uni@erse of 'Aim 4an?s in t at it as o@er t e <ears e@ol@ed, so as to antici=ate and meet t e s=ecial needs of a de@elo=ing countr<. T e 4an? =ro@ides com=etiti@e finance at @arious stages of t e eA=ort c<cle co@ering:

'D*3 *&$*# o=erates a wide range of financing and =romotional =rogrammes. T e 4an? finances eA=orts of *ndian mac iner<, manufactured goods, and consultanc<

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and tec nolog< ser@ices on deferred =a<ment terms. 'D*3 *&$*# also see?s to co finance =ro!ects wit global and regional de@elo=ment agencies to assist *ndian eA=orters in t eir efforts to =artici=ate in suc o@erseas =ro!ects. T e 4an? is in@ol@ed in =romotion of two-wa< tec nolog< transfer t roug t e outward flow of in@estment in *ndian !oint @entures o@erseas and foreign direct in@estment flow into *ndia. 'D*3 *&$*# is also a >artner *nstitution wit 'uro=ean (nion and o=erates for facilitating =romotion of !oint @entures in *ndia t roug tec nical and financial collaboration wit (nion. medium si6ed firms of t e 'uro=ean

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*uidelines on Project ; Ser ices E9-orts

*ssued b< /4* under "ec. :C of 2oreign 'Ac ange 3anagement #ct, 1999 T<=es of 'A=orts co@ered :
o

'A=ort of 1oods on $eferred >a<ment Terms %e,g, E9-ort of machiner!C eIui-mentC manufactured -roducts)

Turn?e< >ro!ects %e,g, Setting u- of Sugar PlantC #ement Plant)

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o o

)onstruction >ro!ects %e,g, #onstruction of 4oadsC +amsC Bridges) )onsultanc< E Tec nical "er@ices %e,g, 6-eration ; Maintenance #ontracts)

)ollecti@el< referred to as M>/+0')T E "'/B*)'" 'D>+/T"M

+efinition of +eferred Pa!ment E9-orts

*n terms of /egulation 9 of t e 2oreign 'Ac ange 3anagement #ct 1999, t e amount re=resenting t e full eA=ort @alue of goods eA=orted must be reali6ed and re=atriated to *ndia wit in 6 mont s of date of eA=ort.

'A=orts w ere more t an 10P of t e @alue is reali6ed be<ond t e =rescribed =eriod, i.e., 6 mont s from date of s i=ment, are treated as $eferred >a<ment 'A=orts

+elegation of Po>ers

Post8A>ard #learance of E9-ort #ontracts

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5U4NKE.C #6NS54U#5I6N ; SUPP3. BI+S J #6N54A#5S<

(= to /s. ;0 crores (= to /s. 200 crores #bo@e /s. 200 crores

: "c eduled )ommercial 4an?s : 'Aim 4an? : Wor?ing 1rou=

SE4$I#ES BI+S J #6N54A#5S<

6n #ash 5erms < (= to /s. ; crores (= to /s. 10 crores #bo@e /s. 10 crores : "c eduled )ommercial 4an?s : 'Aim 4an? : Wor?ing 1rou=

6n +eferred Pa!ment 5erms < 2or an< amount : Wor?ing 1rou=

"UN+E+ 3ines 6f #redit< *eneral *uidelines on E9im 3ines of credit< Introduction<

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'Aim 4an? eAtends lines of credit to o@erseas go@ernmentsLagencies nominated b< t em or financial institutions o@erseas to enable bu<ers in t ose countries to im=ort ca=italLengineering goods, industrial manufactures and related ser@ices from *ndia on deferred =a<ment terms. T is facilit< enables im=orters in t ose countries to im=ort from *ndia on deferred credit terms as =er t e terms and conditions alread< negotiated between 'Aim 4an? and t e o@erseas agenc<. T e *ndian eA=orters can obtain =a<ment of eligible @alue from 'Aim 4an? against negotiation of s i==ing documents, wit out recourse to t em. "eatures T e lines of credit are denominated in con@ertible foreign currencies or *ndian /u=ees and eAtended to so@ereign go@ernmentsLagencies nominated b< t em or financial institutions. "uc go@ernmentsLagenciesLinstitutions are t e borrowers and 'Aim 4an? t e lender. Terms and conditions of different lines of credit are @ar<ing and details in res=ect of eac line of credit can be obtained from 'Aim 4an?. *t would need to be ascertained from time to time t at t e lines of credit a@e come into effect and uncommitted balance is still a@ailable for utili6ation. *ndian eA=orters also need to ascertain t e Guantum of ser@ice fees =a<able to 'Aim 4an? on account of =ro rata eA=ort credit insurance =remium and L or interest rate differential cost t at t e< can t en =aid u= in t eir =rices to t eir im=orters

7o> it >orks

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T e bu<er arranges to obtain allocation of funds under t e credit line from t e borrower. T e eA=orter t en enters into contract wit t e bu<er, for t e

eligible items co@ered under t e line of credit. T e contracts would need to conform to t e basic terms and conditions of t e res=ecti@e credit lines. 7>articulars of effecti@e lines of credit are a@ailable se=aratel<8

T e deli@er< =eriod sti=ulated in t e contracts s ould be suc t at credit can be drawn from 'Aim 4an? wit in t e terminal disbursement date sti=ulated under t e res=ecti@e line of credit agreements. #lso, all contracts s ould =ro@ide for =re-s i=ment ins=ection b< t e bu<er or agent nominated b< bu<er.

T e bu<er arranges to com=l< wit =rocedural formalities as a==licable in is countr< and t en submits t e contract to t e borrower for a==ro@al. T e borrower in turn forwards co=ies of t e contract to 'Aim 4an? for a==ro@al.

'Aim 4an? ad@ises a==ro@al of t e contract to t e borrower, wit co=< to eA=orter, indicating a==ro@al number, eligible contract @alue, last date for disbursement, and ot er conditions sub!ect to w ic a==ro@al is granted.

T e 4u<er, on ad@ice from t e borrower, establis es an irre@ocable sig t letter of credit 7.L)8. # single .L) is to be o=ened, co@ering t e full eligible @alue of t e contract including, freig t andLor insurance as laid down in t e contract.

T e letter of credit is ad@ised t roug a ban? in *ndia designated b< 'Aim 4an?.

'A=orter s i=s t e goods co@ered under t e contract and =resents documents for negotiation to t e designated ban?. T e 4an? forwards negotiated documents to t e bu<er.

~ 31 ~

+n recei=t of clean non-negotiable set of s i=ment documents along wit t e relati@e in@oices, ins=ection certificate and a certificate t at documents negotiated are as =er terms of .L) and wit out reser@e from t e negotiating ban? and after a@ing satisfied itself, t at all formalities a@e been com=lied wit in conformit< wit t e terms of t e )redit #greement, 'Aim 4an? reimburses t e eligible @alue of s i=ment in eGui@alent ru=ees at s=ot eAc ange rate to t e negotiating ban? for =a<ment to t e eA=orter.

'Aim 4an? debits t e borrowerMs account and arranges to collect interest and =rinci=al recei@able on due dates as =er t e terms of t e line of credit agreement between 'Aim 4an? and t e borrower.

*t ma< be noted:

#n< ban? c arges, commission eA=enses =a<able in *ndia as also =ro-rata eA=ort credit insurance =remium and L or interest rate differential cost, as ma< be a==licable s all be to t e account of t e eA=orter. T e eA=orter is ad@ised to ascertain from 'D*3 4an? t e amount ser@ice fee =a<able b< t e eA=orter, before entering into commercial contract wit t e o@erseas bu<er.

'Aim 4an? will not be liable to =a< interest for t e =eriod between dates of negotiation and actual reimbursement from 'D*3 4an?.

A $ariet! of 3INE 6" #4E+I5 Programmes >articulars of t e .ine of )redit to "e<c elles 3ar?eting 4oard 7"348, "e<c elles >articulars of t e .ine of )redit to Bnes torgban? 74an? for 2oreign Trade8, /ussian 2ederation

~ 32 ~
>articulars of t e .ine of )redit to 4anco 4radesco ".#., 4ra6il >articulars of t e .ine of )redit to 4anco *ndustrial $e Bene6uela, ).#. >articulars of t e .ine of )redit to 4anco de )omercio 'Aterior de )olombia ".#. )onfirmation of .etters +f )redit 7.L)8 4< 'Aim 4an? under t e Trade 2acilitation >rogramme of t e 'uro=ean 4an? for /econstruction and $e@elo=ment 7'4/$8 Tec nolog< (=gradation 2und "c eme for TeAtile and 0ute *ndustries

SUPP3IE4KS #4E+I5<

Su--lierKs #redit for deferred -a!ment e9-orts Ghat is on offerL 'Aim 4an? offers "u==lierMs )redit in /u=ees or in 2oreign )urrenc< at =osts i=ment stage to finance eA=ort of eligible goods and ser@ices on deferred =a<ment terms. #n illustrati@e list of eligible goods is at #nneAure 1. "u==lierMs )redit is a@ailable bot for su==l< contracts as well as =ro!ect eA=ortsO t e latter includes construction, turn?e< or consultanc< contracts underta?en o@erseas. Gho can seek financeL 'A=orters can see? "u==lierMs )redit in /u=eesL 2oreign )urrenc< from 'Aim 4an? in res=ect of eA=ort contracts on deferred =a<ment terms irres=ecti@e of @alue of eA=ort contracts.

~ 33 ~

Ghat are the general terms of Su--lierKs #reditL a, E9tent of Su--lierKs #redit 100P of =ost-s i=ment credit eAtended b< eA=orter to o@erseas bu<er. b, #urrenc! of #redit "u==lierMs )redit from 'Aim 4an? is a@ailable in *ndian /u=ees or in 2oreign )urrenc<. c, 4ate of Interest T e rate of interest for "u==lierMs )redit in /u=ees is a fiAed rate and is a@ailable on reGuest. "u==lierMs )redit in 2oreign )urrenc< is offered b< 'Aim 4an? on a floating rate basis at a margin o@er .*4+/ de=endent u=on cost of funds. d, Securit! #deGuate securit< b< wa< of acce=table letter of credit andLor guarantee from a ban? in t e countr< of im=ort or an< t ird countr< is necessar<, as =er /4* guidelines.

~ 3: ~
e, Period of #redit and 4e-a!ment >eriod of credit is determined for eac =ro=osal a@ing regard to t e @alue of contract, nature of goods co@ered, securit<, com=etition. /e=a<ment =eriod for "u==lierMs )redit facilit< is fiAed coinciding wit t e re=a<ment of =ost-s i=ment credit eAtended b< *ndian eA=orter to o@erseas bu<er. %owe@er, t e *ndian eA=orter will re=a< t e credit to 'Aim 4an? as =er agreed re=a<ment sc edule, irres=ecti@e of w et er or not t e o@erseas bu<er as =aid t e *ndian eA=orter.

UtiliHation of #redit 'Aim 4an? enters into "u==lierMs )redit #greement wit *ndian eA=orter as also wit eA=orterMs commercial ban? in t e e@ent of t e latterMs =artici=ation in t e "u==lierMs )redit. T e #greement co@ers details of draw-down, re=a<ment, and includes an affirmation b< *ndian eA=orter t at re=a<ment to 'Aim 4an? would be made on due date, regardless of w et er due =a<ments recei@ed from o@erseas bu<er. i, Negotiation of +ocuments )ommercial ban? negotiates eA=ort documents and see?s a@e or a@e not been

reimbursement of "u==lierMs )redit amount. ii, Su--lierKs #redit #laims

~ 3; ~
)ommercial ban? see?s reimbursement of "u==lierMs )redit from 'Aam 4an? along wit a. #nneAure containing =articulars of s i=mentLs made 7drawal form and #nneAure format are =ro@ided to ban?s at t e time of issue of sanction8. b. )o=ies of s i==ing documents. +n satisf<ing itself t at t e disbursement claim is in order, 'Aim 4an? eit er credits t e amount in /u=ees under /u=ee "u==lierMs )redit into t e account of t e commercial ban?, maintained wit /eser@e 4an? of *ndia 7/4*8 at 3umbai, or t e commercial ban?Ms &ostro #ccount under 2oreign currenc< "u==lierMs )redit and ad@ises details of t e amount credited to ban?LeA=orter.

iii,

4e-a!ment of Su--lierKs #redit T e eA=orter re=a<s =rinci=al amount of credit to 'Aim 4an? as =er agreed

re=a<ment sc edule. *nterest amounts are =a<able to 'Aim 4an? alf-<earl< wit out an< moratorium. Su--lierKs #redit M4egulator! NormsN 8 Su--l!J5urnke!J#onstruction /4* as laid down guidelines for =ro!ect eA=orts and eA=ort of goods from *ndia on deferred =a<ment terms. /4*Ms guidelines relating to >ro!ect 'A=ort contracts are contained in 3emorandum >'3 =ublis ed b< /4*. *t is a =riced =ublication and a@ailable at an< of t e /egional +ffices of /4* t roug out *ndia

~ 36 ~
6 erseas Bu!erKs #redit< T is is offered directl< to foreign im=orters for t e im=ort of *ndian ca=ital goods and relati@e ser@ices wit re=a<ment terms s=read o@er a =eriod of <ears. .oan under 2/'>') >rogramme: 2inancing /u=ee 'A=enditure for >ro!ect 'A=ort )ontracts About "4EPE# T is =rogramme see?s to 2inance /u=ee 'A=enditure for >ro!ect 'A=ort )ontracts, incurred b< *ndian com=anies. Pur-ose To enable *ndian =ro!ect eA=orters to meet /u=ee eA=enditure incurredLreGuired to be incurred for eAecution of o@erseas =ro!ect eA=ort contracts suc as for

mobilisationL=urc aseLacGuisition of materials and eGui=ment, mobilisation of =ersonnel, =a<ments to be made in *ndia to staff, sub-contractors, consultants and to meet =ro!ect related o@er eads in *ndian /u=ees.

>re-" i=ment /u=ee )redit >re-s i=ment /u=ee )redit is eAtended to finance tem=orar< funding reGuirement of eA=ort contracts. T is facilit< enables =ro@ision of ru=ee mobilisation eA=enses for constructionL turn?e< =ro!ects. 'A=orters could also a@ail of =re-s i=ment credit in foreign currencies to finance cost of im=orted

~ 3C ~
in=uts for manufacture of eA=ort =roducts to be su==lied under t e =ro!ects. )ommercial ban?s also eAtend t is facilit< for definite =eriods. Pre8Shi-ment "inance #n a==lication for =re-s i=ment ad@ance s ould be made b< <ou to <our ban?er along wit t e following documents:

)onfirmed eA=ort orderLcontract or .L) etc. in original. W ere it is not a@ailable, an underta?ing to t e effect t at t e same will be =roduced to t e ban? wit in a reasonable time for @erification and endorsement s ould be gi@en.

#n underta?ing t at t e ad@ance will be utili6ed for t e s=ecific =ur=ose of =rocuringLmanufacturingLs i==ing etc., of t e goods meant for eA=ort onl<, as stated in t e relati@e confirmed eA=ort order or t e .L).

*f <ou are a sub-su==lier and want to su==l< t e goods to t e 'A=ortLTradingL"tar Trading %ouse or 3erc ant 'A=orter, an underta?ing from t e 3erc ant 'A=orter or 'A=ortLTradingL"tar Trading %ouse stating t at t e< a@e notLwill Q C 3 not a@ail t emsel@es of =ac?ing credit facilit< against t e same transaction for t e same =ur=ose till t e original =ac?ing credit is liGuidated.

)o=ies of *ncome TaALWealt TaA assessment +rder for t e last 2-3 <ears in t e case of sole =ro=rietar< and =artners i= firm.

)o=< of 'A=orterMs )ode &umber 7)&D8.

~ 3J ~

)o=< of a @alid /)3) 7/egistration-cum-3embers i= )ertificate8 eld b< <ou andLor t e 'A=ortLTradingL"tar Trading %ouse )ertificate.

#==ro=riate =olic<Lguarantee of t e ')1). #n< ot er document reGuired b< t e 4an?. 2or encouraging eA=orts, /.4.*. as instructed t e ban?s to grant =res i=ment ad@ance at a concessional rate of interest. T e =resent rate of interest is 10P =.a. for =re-s i=ment ad@ance u= to an initial =eriod of 1J0 da<s. >re-s i=ment ad@ance for a furt er =eriod of 90 da<s is gi@en at t e concessional rate of 13P =.a. 4an?s are free to determine t e interest rate for ad@ances be<ond 2C0 da<s and u= to 360 da<s.

2ollowing s=ecial sc emes are also a@ailable in res=ect of =re-s i=ment finance: 'Aim 4an?Ms sc eme for grant of foreign currenc< =re-s i=ment credit to eA=orters for financing cost of im=orted in=uts for manufacture of eA=ort =roducts.

"c eme of eA=ort =ac?ing credit to sub-su==liers from eA=ort order. >ac?ing credit for deemed eA=orts. >re-s i=ment )redit in 2oreign )urrenc< 7>)2)8. 2or furt er details refer to &ab iMs N%ow to 4orrow from 2inancial and 4an?ing *nstitutionsN.

~ 39 ~

Post Shi-ment "inance >ost-s i=ment finance is t e finance =ro@ided against s i==ing documents. *t is also =ro@ided against dut< drawbac? claims. *t is =ro@ided in t e following forms: Purchase of E9-ort +ocuments dra>n under E9-ort 6rder< >urc ase or discount facilities in res=ect of eA=ort bills drawn under confirmed eA=ort order are generall< granted to t e customers w o are en!o<ing 4ill >urc aseL$iscounting limits from t e 4an?. #s in case of =urc ase or discounting of eA=ort documents drawn under eA=ort order, t e securit< offered under .L) b< wa< of substitution of credit-wort iness of t e bu<er b< t e issuing ban? is not a@ailable, t e ban? financing is totall< de=endent u=on t e credit wort iness of t e bu<er, i.e. t e im=orter, as well as t at of t e eA=orter or t e beneficiar<. T e documents dawn on $> basis are =arted wit t roug foreign corres=ondent onl< w en =a<ment is recei@ed w ile in case of $# bills documents 7including t at of title to t e goods8 are =assed on to t e o@erseas im=orter against t e acce=tance of t e draft to ma?e =a<ment on maturit<. $# bills are t us unsecured. T e ban? financing against eA=ort bills is o=en to t e ris? of non-=a<ment. 4an?s, in order to en ance securit<, generall< o=t for ')1) =olicies and guarantees w ic are issued in fa@or of

~ :0 ~
t e eA=orterLban?s to =rotect t eir interest on =ercentage basis in case of non=a<ment or dela<ed =a<ment w ic is not on account of misc ief, mista?e or negligence on t e =art of eA=orter. Wit in t e total limit of =olic< issued to t e customer, drawee-wise limits are generall< fiAed for indi@idual customers. #t t e time of =urc asing t e bill ban? as to ascertain t at t is drawee limit is not eAceeded so as to ma?e t e ban? ineligible for claim in case of non-=a<ment.
o

Ad ances against E9-ort Bills Sent on #ollection< *t ma< sometimes be =ossible to a@ail ad@ance against eA=ort bills sent on collection. *n suc cases t e eA=ort bills are sent b< t e ban? on collection basis as against t eir =urc aseLdiscounting b< t e ban?. #d@ance against suc bills is granted b< wa< of a Mse=arate loanM usuall< termed as M=ost-s i=ment loanM. T is facilit< is, in fact, anot er form of =ost- s i=ment ad@ance and is sanctioned b< t e ban? on t e same terms and conditions as a==licable to t e facilit< of &egotiationL>urc aseL$iscount of eA=ort bills. # margin of 10 to 2;P is, owe@er, sti=ulated in suc cases. T e rates of interest etc., c argeable on t is facilit< are also go@erned b< t e same rules. T is t<=e of facilit< is, owe@er, not @er< =o=ular and most of t e ad@ances against eA=ort bills are made b< t e ban? b< wa< of negotiationL=urc aseLdiscount. Ad ance against *oods Sent on #onsignment Basis< W en t e goods are eA=orted on consignment basis at t e ris? of t e eA=orter for sale and e@entual remittance of sale =roceeds to im b< t e agentLconsignee, ban? ma< finance against suc transaction sub!ect to t e customer en!o<ing s=ecific limit to t at effect. %owe@er, t e ban? s ould ensure w ile forwarding s i==ing documents to its o@erseas branc Lcorres=ondent to instruct t e latter

~ :1 ~
to deli@er t e document onl< against Trust /ecei=tL(nderta?ing to deli@er t e sale =roceeds b< s=ecified date, w ic s ould be wit in t e =rescribed date e@en if according to t e =ractice in certain trades a bill for =art of t e estimated @alue is drawn in ad@ance against t e eA=orts. Ad ance against Undra>n Balance< *n certain lines of eA=ort it is t e trade =ractice t at bills are not to be drawn for t e full in@oice @alue of t e goods but to lea@e small =art undrawn for =a<ment after ad!ustment due to difference in rates, weig t, Gualit< etc. to be ascertained after a==ro@al and ins=ection of t e goods. 4an?s do finance against t e undrawn balance if undrawn balance is in conformit< wit t e normal le@el of balance left undrawn in t e =articular line of eA=ort sub!ect to a maAimum of 10P of t e @alue of eA=ort and an underta?ing is obtained from t e eA=orter t at e will, wit in 6 mont s from due date of =a<ment or t e date of s i=ment of t e goods, w ic e@er is earlier surrender balance =roceeds of t e s i=ment. #gainst t e s=ecific =rior a==ro@al from /eser@e 4an? of *ndia t e =ercentage of undrawn balance can be en anced b< t e eA=orter and t e finance can be made a@ailable accordingl< at ig er rate. "ince t e actual amount to be reali6ed out of t e undrawn balance, ma< be less t an t e undrawn balance, it is necessar< to ?ee= a margin on suc ad@ance. Ad ance against 4etention Mone!< 4an?s also grant ad@ances against retention mone<, w ic is =a<able wit in one <ear from t e date of s i=ment, at a concessional rate of interest u= to 90 da<s. *f suc ad@ances eAtend be<ond one <ear, t e< are treated as deferred =a<ment ad@ances w ic are also eligible for concessional rate of interest.

~ :2 ~
o

Ad ances against #laims of +ut! +ra>back< $ut< $rawbac? is =ermitted against eA=orts of different categories of goods under t e M)ustoms and )entral 'Acise $ut< $rawbac? /ules, 199;M. $rawbac? in relation to goods manufactured in *ndia and eA=orted means a rebate of duties c argeable on an< im=orted materials or eAcisable materials used in manufacture of suc goods in *ndia or rebate on eAcise dut< c argeable under )entral 'Acises #ct, 19:: on certain s=ecified goods. T e $ut< $rawbac? "c eme is administered b< $irectorate of $ut< $rawbac? in t e 3inistr< of 2inance. T e claims of dut< drawbac? are settled b< )ustom %ouse at t e rates determined and notified b< t e $irectorate. #s =er t e =resent =rocedure, no se=arate claim of dut< drawbac? is to be filed b< t e eA=orter. # co=< of t e s i==ing bill =resented b< t e eA=orter at t e time of ma?ing s i=ment of goods ser@es t e =ur=ose of claim of dut< drawbac? as well. T is claim is =ro@isionall< acce=ted b< t e customs at t e time of s i=ment and t e s i==ing bill is dul< @erified. T e claim is settled b< customs office later. #s a furt er incenti@e to eA=orters, )ustoms %ouses at $el i, 3umbai, )alcutta, ) ennai, ) andigar , and %<derabad a@e e@ol@ed a sim=lified =rocedure under w ic claims of dut< drawbac? are settled immediatel< after s i=ment and no funds of eA=orter are bloc?ed. %owe@er, w ere settlement is not =ossible under t e sim=lified =rocedure eA=orters ma< obtain ad@ances against claims of dut< drawbac? as =ro@isionall< certified b< customs. Negotiation of E9-ort documents +ra>n under 3J#< T is as=ect as been discussed in t e c a=ter on "=ecial )are for negotiation of 'A=ort $ocuments under .etter of )redit.

~ :3 ~

4efinance of E9-ort 3oans #ut ori6ed $ealers in foreign eAc ange can obtain from 'Aim 4an?, undred =ercent refinance of deferred =a<ment loans eAtended for eA=ort of eligible *ndian goods.

2orfeiting

2orfeiting is a mec anism of financing eA=orts.

b< discounting eA=ort recei@ables e@idenced b< bills of eAc ange or =romissor< notes wit out recourse to t e seller 7@i6. eA=orter8 carr<ing medium to long term maturities on a fiAed rate basis 7discount8 (= to 100 =ercent of t e contract @alue.

T e word RforfeitM is deri@ed from t e 2renc word Ra forfeitM w ic means t e surrender of rig ts. "im=l< =ut, forfeiting is t e non-recourse discounting of eA=ort recei@ables. *n a forfeiting transaction, t e eA=orter surrenders, wit out recourse to im, is rig ts to claim for =a<ment on goods deli@ered to an im=orter, in return for immediate cas =a<ment from a forfeiter. #s a result, an eA=orter in *ndia can con@ert a credit sale into a cas sale, wit no recourse to t e eA=orter or is ban?er.

~ :: ~

Non8"unded 'Aim 4an? issues following guarantees directl< or in =artici=ation wit ot er ban?s, for =ro!ect eA=ort contract.

Bid Bond

4id 4ond is generall< issued for a =eriod of siA mont s.

~ :; ~

Ad ance Pa!ment *uarantee

'A=orters are eA=ected to secure a mobilisation ad@ance of 10-20P of t e contract @alue w ic is normall< released against ban? guarantee and is generall< reco@ered on a =ro-rata basis from t e =rogress =a<ments during =ro!ect eAecution.

Performance *uarantee

>erformance guarantee for ;-10P of contract is issued, @alid u= to com=letion of maintenance =eriod normall< one <ear after com=letion of contract =eriod andLor grant of 2inal #cce=tance )ertificate 72#)8 b< t e o@erseas em=lo<er. 2ormat of guarantee is eA=ected to be furnis ed b< eA=orter, at least four wee?s before actual issue, to facilitate discussions and formal a==ro@al.

*uarantee for 4elease of 4etention Mone!: T is enables t e eA=orter to obtain t e release of retention mone< 7normall< 10P of contract @alue8 before obtaining 2inal #cce=tance )ertificate 72#)8 from client.

*uarantee for 4aising Borro>ings 6 erseas 4ridge finance ma< be needed at t e earlier = ases of t e contracts to su==lement t e mobilisation ad@ance. 4ridge finance u= to 2;P of t e contract @alue ma< be raised in foreign currenc< from an o@erseas ban? against t is guarantee issued b< a ban? in *ndia. /eGuest for o@erseas borrowings must be su==orted b< currenc<-wise cas flows, also indicating t e outstanding letters of credit and .L) drawal sc edule

~ :6 ~

6ther *uarantees '.g. in lieu of customs dut< or securit< de=osit for eA=atriate labor.

*uarantee commission is c arged at rates sti=ulated b< t e 2oreign 'Ac ange $ealers #ssociation of *ndia 72'$#*8 or as sti=ulated b< guarantee issuing ban?. 3argin reGuirement for issue of guarantee is generall< wai@ed b< ban?s for 'A=ort >erformance 1uarantee. %owe@er, a==ro=riate securities are a@ailed of.

'A=ort )a=abilit< )reation >rogrammes

.ending >rogramme for 'A=ort +riented (nits >roduction 'Gui=ment 2inance >rogramme Tec nolog< (=gradation 2und "c eme for TeAtile and 0ute *ndustries +@erseas *n@estment 2inance >rogramme 'Guit< *n@estment in *ndian Bentures #broad #sian )ountries *n@estment >artners >rogramme 'A=ort 3ar?eting 2inance >rogramme 'A=ort >roduct $e@elo=ment >rogramme 'A=ort Bendor $e@elo=ment >rogramme >rogramme for 'A=ort 2acilitation
o o

>ort $e@elo=ment "oftware Training *nstitutes

2oreign )urrenc< >re-s i=ment )redit

~ :C ~

Wor?ing )a=ital Term .oan >rogramme for 'A=ort +riented (nits 4ul? *m=ort 2inance 2inance for /esearc E $e@elo=ment for 'A=ort +riented (nits .ong Term Wor?ing )a=ital *m=ort 2inance

#7AP5E4 III

~ :J ~
Ser ices rendered b! EXIM Bank E9-ort Ser ices

A+$IS64. SE4$I#ES

~ :9 ~
MU35I3A5E4A3 A*EN#IES "UN+E+ P46:E#5S 6$E4SEAS %M"P6) Ser ices *nformation and su==ort ser@ices to *ndian com=anies to el= im=ro@e t eir =ros=ects for securing business in multilateral agencies funded =ro!ects.

$issemination of business o==ortunities in funded =ro!ects >ro@iding detailed information on =ro!ects of interest *nformation on >rocurement 1uidelines, >olicies, >ractices of 3ultilateral #gencies #ssistance for /egistration wit 3ultilateral #gencies #d@ising *ndian com=anies on =re=aration of 'A=ression of *nterest, )a=abilit< >rofile

4id *nter@ention

P46M65IN* IN+IAN #6NSU35AN#. 5ie8u- >ith

*nternational 2inance )or=oration, Was ington $.).

o o o o

#frica >ro!ect $e@elo=ment 2acilit< #frica 'nter=rise 2und Tec nical #ssistance E Trust 2unds 3e?ong >ro!ect $e@elo=ment 2acilit<

'astern E "out ern #frican Trade E $e@elo=ment 4an? 7>T# 4an?8 #frican 3anagement "er@ices )om=an< 7#3")+8, &et erlands

~ ;0 ~

E9am-les

1ems E 0eweller< "tud< - Sambia )ement >ro!ect Wool Fnitting /efrigeration - Bietnam - 1 ana

2inancial Training 3ission - Fen<a - 3adagascar - &igeria - >oland TeAtile 2inancial Training

- )ameroon "oftware

~ ;1 ~

EXIM BANK AS A #6NSU35AN5

2easibilit< stud< for establis ment of an eA=ort credit and guarantee facilit< for 1ulf )oo=eration )ouncil countries.

/egional coo=eration in eA=ort finance and eA=ort credit guarantees for '")#>.

"tud< on =romotion of international com=etiti@eness and eA=orts of manufactured goods for '")#>.

"etting u= t e #freAim 4an? $esigning of 'A=ort 2inancing >rogrammes - Tur?e< "etting u= an 'Aim 4an? in 3ala<sia $esign of 'A=ort 3ar?eting "eminars for "3's in Bietnam 'A=ort $e@elo=ment >ro!ect : (?raine 'nter=rise "u==ort 2und : #rmenia 'stablis ing an 'A=ort )redit 1uarantee )om=an< in Simbabwe

~ ;2 ~

#d@isor< ser@ices to *ndustrial $e@elo=ment )or=oration of "out #frica for international finance =roducts

KN6G3E+*E BUI3+IN* EXIMIUS #EN54E "64 3EA4NIN*C BAN*A364E

"et u=, in +ctober 199:, to organi6e seminars and wor?s o=s in areas suc as international trade E in@estment, eA=ort mar?eting, Gualit<, =ac?aging, business o==ortunities in multilateral agencies funded =ro!ects, sector and countr< s=ecific =rogrammes

1uest facult< from networ? =artners suc (&*$+.

as *2), World 4an?, '4/$,

&umber of >rogrammes )onducted : ;3

~ ;3 ~

4ESEA4#7 S5U+IES

~ ;: ~

/esearc

"tudies on =roducts, sectors, countries, macro economic issues

rele@ant to international trade and in@estment

&umber of researc studies =ublis ed as +ccasional >a=ers : J;

Sector Studies

- )om=uter "oftware - 2loriculture )om=onents - ) emicals 'lectric - 3ac ine Tools

- 3edicinal >lants - "=orts 1oods

- > armaceuticals "er@ices

2inancial

Bilateral 5rade and In estment Studies - 0a=an, /e=ublic of Forea, Taiwan: "tud< of *ndiaMs Trade - Fa6a? stan, F<rg<6 /e=ublic, (6be?istan: Trade >otential - "##/) )ountries: Trade E *n@estment >otential Macro Economic En ironment Studies *nternational Tec nolog< Transfer Transaction )osts of *ndian 'A=orts : #n #nal<sis

~ ;; ~
IN"64MA5I6N SE4$I#ES 1. 'A=ortersL*m=orters 2. *ndustr<L3ar?et /e=orts 3. Trade /egulations E .aws :. )ountr< /e=orts ;. *nternational Tualit< "tandards 6. >artner *dentification C. >roduct $is=la< E9am-les of Information Ser ices

%ungarian > armaceutical "ector *m=orters of "anitar< ware, )astings in &ort #merica *m=orters of #gro-c emicals in 'astern 'uro=e "tud< for ear buds mar?et in %ungar< "tud< of t e *ndian Wine mar?et for a %ungarian )om=an< >artner identification for an *talian "anitar< ware manufacturer "tud< of t e *ndian )rane *ndustr< for a 2innis com=an< /egulator< 2ramewor? for setting u= a > arma >ro!ect in ) ina 3ar?et re=ort for )om=uter 3onitors in *ndia for a "inga=orean firm "tud< on 4ic<cle mar?et in 'astern 'uro=e for *ndian )<cle eA=orter 3ar?et >otential for $enim in "out 'ast #sia.

~ ;6 ~

P46M65I6NA3 P46*4AMMES Project Pre-arator! Ser ices 6 erseas Programme

"et u= in 19JC to =romote *ndian consultanc< at =re=arator< stages in =ro!ects o@erseas wit =otential of 3ultilateral 2unding and downstream lin?ages for *ndian eA=orts.

Eligible #osts >ro!ect feasibilit< studies, =ro!ect formulation and related ad@isor< ser@ices E9am-les
o o

/ailwa< "ector "tud< - Bietnam U T ermal >ower - 3acedonia /oad /e abilitation - (6be?istan U #griculture - 'g<=t

~ ;C ~

#7AP5E4 I$ #onclusion 3an< economists argued t at 'D*3 4an? sector re=resented t e new beginning of t e international ca=italism. T e< traced t e e@olution of t e 'D*3 4an? sector to t e de@elo=ment of transnational cor=orations. *n t is conteAt t e e@olution of t e international ban?ing came as a res=onse to t e modern = enomenon of ca=ital w ic ob@iousl< goes be<ond national borders. #t t e same time t e ra=id growt and boom of t e tec nolog< sector ga@e a great incenti@e and facilitated t e creation of t e international EXIM Bank area. T is =ermitted global access of world mar?et information and subseGuentl< its management and control. (nder t e traditional national and international sectors t ere were se@eral constraints w ic ga@e t e =ossibilit< for offs ore acti@it< to grow. T ese are: t e eAtension of national taA basesO intermittent fiscal and monetar< instabilitiesO t e eAistence of foreign eAc ange controls and fluctuationsO limiting cross-border controlsO conser@ati@e ban?ing laws and regulations wit regard to foreign and domestic industrial entr<, s<stems of su=er@ision and liGuidit< reGuirements, constraints on t e issue of foreign and domestic bonds, t e admission of securities to ca=ital mar?ets, stoc? eAc ange, insurance regulations O com=an< laws w ic restricted business. #lso it as to be mentioned from t e international =ers=ecti@e t ere was a lac? of co erent set of international fiscal =rinci=les and laws in w ic transnational com=an< could o=erate across border.

~ ;J ~
T e e@olution of t e 'D*3 4an? center is described from t e =ers=ecti@e of its taA and ban?ing functions. 3ore recentl<, owe@er, ot er constraints ons ore a@e ser@ed as an incenti@e element w ic =us ed for offs ore in@estment and a@e em= asi6ed t e im=ortance of t at in@estment. T ese include: t e need to =ro@ide for w at is seen as t e @ulnerabilit< of =rofessionals and in@estors to creditorsO t e desire to a@oid ons ore laws and regulations w ic mandate t e reser@ation of assets to s=ouses and eirsO t e need for sa@ings and in@estment @e icle for ordinar< =ersons. 'D*3 4an? center came wit inno@ati@e solutions to all t ese constraints t at were mentioned abo@e. .et us refer for eAam=le to taAation. T ere are 3 models of 'D*3 4an? centers from t e =ers=ecti@e of taAation: wit 6ero-taA 7 ere e@en residents do not =a< taAes8O wit low-taAO taA at normal rates but eAem=tion or ot er =referential treatment is granted to non-resident in@estors or in@estment for certain categories of income. &otwit standing t e fact t at t e abo@e categories refers onl< to taA as=ects of 'D*3 4an? acti@it<, it clearl< s ows t e sco=e of suc centers.

~ ;9 ~

BIB3I6*4AP7.

T e source for gat ering information for m< =ro!ect.

Gebliogra-h! 8 www.economictimes.com www.<a oosearc .co.in www.googlesearc .com www.management=aradise.com

www.businessstandard.com www.wikipedia.com www.answers.com www.eximbankofindia.gov