Port Wings, 27 March 2019:
The Export-Import Bank of India (Exim Bank) plans to provide USD 800 million (about ₹ 5,500 crore) credit to Maldives to finance developmental projects. Exim Bank has extended a Line of Credit (LoC) of USD 800 million to Maldives for financing developmental projects.
An agreement for the LoC was signed between Maldives Finance Minister Ibrahim Ameer and Exim Bank Chief General Manager Sudatta Mandal. And the agreement was exchanged during the visit of External Affairs Minister Sushma Swaraj to Maldives, recently.
A release said that with the signing of the agreement for USD 800 million, Exim Bank, till date, has extended three LoCs to the Government of the Republic of Maldives, on behalf of the Government of India, taking the total value of LoCs extended to USD 880 million.
Exim Bank, which provides long-term trade finance, also has strong view on the African continent and some south Asian countries. Managing director of Exim Bank David Rasquinha said the financing entity was engaged in some infrastructure projects in Africa where the quantum of finance extended was close to USD 2.5 billion in aggregate.
Africa is one of the fastest growing parts of the world and the need for developing infrastructure like railways was immense. And, India is utilizing the opportunity using the bank.
Exim Bank said a railway project in Ghana was already underway where it was having an exposure, adding that it was also financing companies doing trade with Africa.
In south Asia, countries like Bangladesh, Sri Lanka and Nepal were of interest to the bank as well as Myanmar. It is also an important fact that out 54-odd countries in Africa, Exim bank was doing business in 45 of them.
The projects covered under the LoCs extended to Maldives include various infrastructure development projects. Exim Bank has in place 245 LoCs, covering 63 countries in Africa, Asia, Latin America and the CIS, with credit commitments of around USD 24.24 billion (about ₹ 1,67,200 crore), available for financing exports from India.