Letters to BS on how PNB fraud affecting India's foreign trade

Be it a regular exporter or importer, banks have become dead slow to act on pre-shipment or even post-shipment financing and even packing credits

As more skeletons are unearthed from bank cupboards, the ultimate sufferer seems to be the country’s exports and its image abroad.  The fallout of the Punjab National Bank scam has started affecting foreign trade. It is imperative for the commerce ministry to act swiftly and safeguard the country's image overseas, otherwise exports are bound to fall. Now, overseas buyers are reluctant even against 2 per cent normal performance bond or bank guarantees. In some cases, exporters are reluctant to accept letters of credit as the Indian banks tightened the screws of trade financing.
 
Be it a regular exporter or