India to top list of borrowers: US EX-IM chief

The Export-Import (EX-IM) Bank of the United States expects India to become the leading country to receive financing from it, a top bank official said today.

"Today, we have more commitment in India after Mexico. I expect India will exceed in receiving the largest area of commitment for EX-IM Bank. I see lot of opportunities here," Ex-Im Bank Chairman and President Fred Hochberg told reporters here.

He added that India with $7 billion financing from the Bank ranks second after Mexico with $8.5 billion.

EX-IM bank focuses more on emerging markets that offer huge scope, he said, adding that besides India, Indonesia and Vietnam are among countries that show promise. "I am very bullish about financing in the infrastructure sector in India. In the next five years, India requires  investment of over $1 trillion in infrastructure," Hochberg said.

Besides India, the Bank is eyeing emerging economies like Mexico, Brazil, Colombia, Turkey, Indonesia, Vietnam, Nigeria and South Africa for US goods and services.

Lauding India for its strong economic growth, he said, "We envy the growth of the Indian economy. We (USA) would like to have at least half of that growth."

Hochberg, on his fourth trip to India, said they are also exploring possibilities for providing loans to Indian students planning to study in universities in the USA. "Yes. We are exploring it rather actively. We may fund it through an entity. Currently, it is being discussed."

At present, EX-IM Bank finances sectors like aircraft, power projects, manufacturing and capital equipment, mining (oil and gas) and information and communication in India.

Hochberg said they are engaged in a 40 MW solar power project in Rajasthan that would create 600 jobs in India.

US Consul General Jennifer McCyintyre said, Hochberg "is at the right time and right place" as South India has taken a lead among India's fast growing sectors.

"From information technology, aerospace, power generation, infrastructure, life sciences and manufacturing and machine tools, it's all happening here," she said.

Hochberg would also visit Bangalore and Hyderabad after his trip here.

Indian Overseas Bank Chairman and Managing Director M Narendra invited EX-IM Bank to identify opportunities in the Indian manufacturing sector saying that enterprises in India require long term funds from it.

Chennai-based Orchid Chemicals and Pharmaceuticals Chairman and Managing Director K Raghavendra Rao invited EX-IM bank to support export oriented pharmaceutical companies. He said the bio-pharma industry was set to play a major role in India-US relations.