Date: |
02-02-2015
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Notification No: |
BI/2014-15/440 A.P. (DIR Series) Circular No.69
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Issuing Authority: |
RBI
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Type: |
A.P.D.(Series) Circulars
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File No: |
BI/2014-15/440 |
Subject: |
Exim Bank's Line of Credit of USD 62.95 million to the Government of the Republic of Senegal
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BI/2014-15/440
A.P. (DIR Series) Circular No.69
February 02, 2015
To
All Category - I Authorised Dealer Banks
Madam / Sir,
Exim Bank's Line of Credit of USD 62.95 million to the Government of the
Republic of Senegal
Export-Import Bank of India (Exim Bank) has entered into an Agreement dated
September 17, 2014 with the Government of the Republic of Senegal for making
available to the latter, a Line of Credit (LOC) of USD 62.95 million (USD Sixty
two million nine hundred and fifty thousand) for financing eligible goods,
machinery, equipment and services including consultancy services from India for
the purpose of financing Rice Self-Sufficiency Programme in the Republic of
Senegal. The goods, machinery, equipment and services including consultancy
services from India for exports under this Agreement are those which are
eligible for export under the Foreign Trade Policy of the Government of India
and whose purchase may be agreed to be financed by the Exim Bank under this
Agreement. Out of the total credit by Exim Bank under this Agreement, the goods
and services including consultancy services of the value of at least 75 per cent
of the contract price shall be supplied by the seller from India and the
remaining 25 percent goods and services may be procured by the seller for the
purpose of Eligible Contract from outside India.
- The Credit Agreement under the LOC is effective from January 01, 2015 and
the date of execution of Agreement is September 17, 2014. Under the LOC, the
last date for opening of Letters of Credit and Disbursement will be 48 months
from the scheduled completion date of contract in the case of Project exports
and 72 months (September 16, 2020) from the execution date of the Credit
Agreement in the case of supply contracts.
- Shipments under the LOC will have to be declared on EDF/ SDF Forms as per
instructions issued by the Reserve Bank from time to time.
- No agency commission is payable under the above LOC. However, if required,
the exporter may use his own resources or utilize balances in his Exchange
Earners’ Foreign Currency Account for payment of commission in free foreign
exchange. Authorised Dealer Category- l (AD Category-l) banks may allow such
remittance after realization of full payment of contract value subject to
compliance with the prevailing instructions for payment of agency commission.
- AD Category-I banks may bring the contents of this circular to the notice of
their exporter constituents and advise them to obtain full details of the Line
of Credit from the Exim Bank’s office at Centre One, Floor 21, World Trade
Centre Complex, Cuffe Parade, Mumbai 400 005 or log on to www.eximbankindia.in
- The Directions contained in this circular have been issued under sections
10(4) and 11(1) of the Foreign Exchange Management Act (FEMA), 1999 (42 of 1999)
and are without prejudice to permissions / approvals, if any, required under any
other law.
Yours faithfully,
(J K Pandey)
General Manager Officer-in-Charge
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