|
|
Soft credit for exporters continues till October |
|
04/05/2009 |
| The Reserve Bank of India (RBI) has extended the concessional interest rate scheme for exporters by six months till October.
The ceiling of interest rate on pre-shipment rupee export credit up to 270 days and post-shipment credit up to 180 days at the benchmark prime lending rate (BPLR) minus 2.5 per cent was due to expire on April 30.
"It has been decided to extend the validity up to October 31," RBI said in a circular to the scheduled commercial banks.
Since these are ceiling rates, banks will not be able to charge exporters interest rates above BPLR minus 2.5 per cent.
The Federation of Indian Export Organisations (Fieo) has been demanding that exporters should be given credit at 7 per cent without linking with the PLR.
Earlier, RBI had extended the interest subsidy for exporters till September-end in order to give relief to labour-intensive sectors like textiles, handicrafts, carpets, leather, gems and jewellery, marine products and small and medium enterprises (SMEs). |
|
|
print
this page
