| Date: |
17-12-2015
|
| Notification No: |
RBI/2015-16/270 A.P. (DIR Series) Circular No. 36
|
| Issuing Authority: |
RBI
|
| Type: |
A.P.D.(Series) Circulars
|
| File No: |
RBI/2015-16/270 |
| Subject: |
Exim Bank's GoI supported Line of Credit of USD 5.38 million to the Fiji Sugar Corporation Limited
|
RBI/2015-16/270
A.P. (DIR Series) Circular No. 36
December 17, 2015
To
All Category - I Authorised Dealer Banks
Madam / Sir,
Exim Bank's GoI supported Line of Credit of USD 5.38 million to the Fiji Sugar
Corporation Limited
Export-Import Bank of India (Exim Bank) has entered into an Agreement dated
February 04, 2015 with the Fiji Sugar Corporation Limited, for making available
to the latter, a Government of India supported Line of Credit (LOC) of USD 5.38
million (USD Five million and three hundred and eighty thousand) for financing
upgradation of sugar industry in Fiji. 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% of the contract price shall be supplied by the seller from
India and the remaining 25% goods and services (other than consultancy services)
may be procured by the seller for the purpose of the eligible contract from
outside India.
- The credit agreement under the LOC is effective from October 05,
2015. 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 March 24, 2021 (72 months from the execution date of the
credit agreement) in the case of other 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 section
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,
(B. P. Kanungo)
Principal Chief General Manager
|
|
|