IFC to loan $75 mn to Exim Bank

The Export Import Bank of India will raise a loan of $300 million by the end of the current year to provide financial assistance to exporters and importers.

This is in addition to the $500 million the bank has raised so far.

The International Finance Corporation (IFC) has assured $75 million. The bank is in the process of mobilising the remaining $225 million from various international commercial banks.

The proceeds of the IFC loan will be used to finance exports to other South Asian countries from private players, mainly middle-market companies.

Exim Bank executive director N Shankar confirmed the move.

 

He told Business Standard,” All these foreign loans will be Libor-linked. The bank has raised $500 million through bonds and loans of varying maturities so far this year. It has put forward its proposal for the $75 million loan. The IFC board is expected to give its approval in the first week of March.”