Srinagar, Jan 06 (KNS): The Kashmir Chamber of Commerce and Industry and India Exim Bank on held a virtual meeting regarding export and Import bank of India.
According to a statement, issued to Kashmir News Service (KNS), the meeting was attended by President, Sheikh Ashiq Ahmad, office bearers and other members of KCC&I.
“In this virtual meeting presentation was given by Regional Head India Exim Bank, Virendra Mongia, regarding Bank’s new Initiatives & other programs.”
He briefed about the history and future programme and collaboration of the Bank.
He stated that India Exim Bank established under an act of Parliament is the country’s Export Credit Agency, providing Medium and Long-Term (MLT) facilities mainly in Foreign Currency to sovereign governments, parastatal agencies, Indian Exporters / Companies. India Exim Bank offers financing under various programmes to promote exports from the country.
India Exim Bank has taken and is in the process of taking, certain new initiatives towards supporting SMEs and boosting exports from the country, by a collaborative association with the Indian FIs, Scheduled Commercial Banks, other stakeholders like Export Promotion Councils and Trade & Industry Associations as detailed below:
- Trade Assistance Programme (TAP): India Exim Bank, under this programme, would provide support by offering credit enhancement to trade instruments (Letters of Credit, Bid bond / Performance / Advance Payment Guarantees etc.) to the Public Sector Banks (PSB), by offering transaction-specific partial or full guarantees to cover payment risk of banks in the least developed / developing countries (specifically in Africa, South America, CIS countries) markets.
- Ubharte Sitaare Programme (USP): India Exim Bank has launched the USP to identify and support Indian companies that are future champions with good export potential in order to build globally competitive companies. The identified Indian companies supported under the Programme exhibit a latent advantage by way of a differentiated technology, product or process.
- Factoring: The Government of India has recently amended the Factoring Act (the Factoring Regulation (Amendment) Act, 2021). The Act aims to bring in more players in the field of factoring and receivable financing. The Bank is setting-up a Factoring venture. Further, Banks and PSUs have already been mandated by the Government to be registered in Trade Receivables.
- Countertrade: Countertrade refers to the exchange of goods and services in whole or part, with other goods and services as payment, rather than with money. Countertrade can be an important mode of international transactions for countries facing currency or payment challenges. It involves trading arrangements between private firms and/or government entities, such as foreign trade organizations, by which the seller is obligated to accept, as a partial or total settlement for his exports of goods (or in some instances services, such as technology or industrial licenses), specified goods or services, from the buyer.
Sheikh Ashiq Ahmad stated that the India Exim Bank should organise meetings and physical awareness camps in collaboration with KCC&I in future so that they can encourage young entrepreneurs, women entrepreneurs and all export businesses so that the present poor condition of exports gets improved in coming years.
He also stressed on the role of young entrepreneurs in the export sector and various benefits for earnings in foreign exchange.
“It is pertinent to mention here that our exports from J&K have declined to around 600 Crores which is the worst performance in the last few decades.”
He appealed all the members present in the meeting to use their good offices for promotion of exports from the region.
Secretary General KCC&I, Farooq Amin, presented vote of thanks to all the officials and Regional Head India Exim Bank Virendra Mongia, members of KCC&I for sharing such fruitful information and giving time for the betterment of the trade community of J&K. (KNS)