Export – import bank of india

PPt on Import - Export Bank of India

1. Export – Import Bank of India

2. Mayuri Pujare (34) Presenting By:

3. Introduction The Export – Import Bank of India is also known as EXIM Bank. The EXIM Bank of India is a public sector financial institution established on 1 st January, 1982. It started operating with head office in Mumbai from 1 st March, 1982. It was established by an Act of Parliament, for the purpose of financing, facilitating and promoting foreign trade. EXIM bank is managed by board of directors, which has representatives from the government.

4. Objective and Purpose Financing of exports and imports of goods and services not only of India but also of third world countries. Financing of joint ventures in foreign countries. Financing of Indian manufactured goods, consultancy and technological services on deferred payment terms. Financing R & D and techno economic studies. Co-financing global and regional development agencies.

5. Function/Role of EXIM Bank

6. I) Lending: A)Lending to Indian Companies/Exporters: Sellers Credit: Consultancy and technology service: B)Lending to Overseas Parties: Overseas buyers credit: Lines of credit to foreign governments: C)Lending To Indian Commercial Banks: Export bills rediscounting: Refinance of export credit:

7. II) Guarantees and Bonds: The guarantee programme is available in the case of construction and turnkey contracts. Construction contracts involves erection , civil works and commissioning. In turnkey contract say for setting up of a textile mill, supply of equipment accounts for major value of the contract. In such contracts an Indian exporter usually requires ( i )bid bond (ii)advance payment guarantee (iii)performance guarantee (iv)guarantee for retention money (v)guarantee for borrowings abroad.

8. III) Advisory Services: It works closely with Indian companies in designing financial packages for joint ventures in thi rd countries. It advises Indian companies, executing contracts abroad on sources of favourable financing overseas. It provides access to Euro Financing sources and global credit sources to Indian companies engaged in exports. It advises on global exchange control practice . It helps exporters to take advantage of forfaiting transaction.

9. IV) Promotional Activities: It collects, complies and disseminates market and credit information in respect of international trade. I t helps to plan, finance and promote export oriented units. It encourages export and import by providing technical, administrative and financial assistance. It finances research, surveys and other overseas study to promote export trade.

10. Conclusion While studying the Export – Import Bank of India, it’s clear that this bank was mainly created for the purpose of financing medium and long term loans to exporters thereby promoting the country’s foreign trade. EXIM bank plays various functions like lending, guarantees and bonds, advisory and promotional. EXIM bank of India has been both a catalyst and the key player in the promotion of cross border trade and investment.

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