You are here: Home » Economy & Policy » News
Business Standard

Subsidy on interest rates raised for small exporters hit by note ban, GST

This is the latest step after the central bank decided to consider allowing banks to restructure stressed loans to small businesses following persistent demand from the government

Reuters  |  Mumbai 

IGST

The government increased charged to small exporters under a so-called interest equalisation scheme, the Reserve Bank of India said on Thursday, to boost exports.

The eligible exporters will be able to avail of rupee export credit from banks at five per cent lower, compared to the earlier three per cent, the RBI said.

India's October exports fell to a three-month low of $26.98 billion.

Prime Minister Narendra Modi's government has been keen to provide financial support to small businesses otherwise known as the micro, small and medium enterprises, which have been hit hard following a exercise and a new goods and services tax.

This is the latest step after the central bank decided to consider allowing banks to restructure stressed loans to small businesses following persistent demand from the government.

First Published: Thu, November 29 2018. 19:06 IST
RECOMMENDED FOR YOU