ANNOUNCEMENT 19 Dec 2012A new trade finance transaction was announced in December 2012.
NUMBER OF INTERVENTIONS
On 19 December 2012, the Government of India entered into an agreement to provide a loan of USD 19 million to the Government of the Republic of Senegal to finance the purchase of Indian goods and services for projects associated with the Senegalese Fisheries Development Project.
The credit is provided by the Export Import Bank of India (EXIM) and requires that at least 75% of the contract price for goods and services associated with the plant is sourced from India. The remaining 25% may be sourced from elsewhere. This measure disadvantages competing suppliers from outside of India.
The credit agreement is effective from 26 June 2013. The Circular "A.P. (DIR Series) Circular No.16" was published for the same by the Reserve Bank of India on 23 July 2013.