ANNOUNCEMENT 09 Aug 2010
In August 2010, the government of India announced a change in financial export support.
NUMBER OF INTERVENTIONS
Circular DBOD.Dir.(Exp).BC.No.36 /04.02.001/2010-11
On 9 August 2010, the Reserve Bank of India through Circular DBOD. Dir.(Exp).BC. No.36 /04.02.001/2010-11 increased the sectors eligible for the interest rate subvention scheme for rupee export credit for the period 1 April 2010 to 31 March 2011.
64 products under the following sectors have been added to the scheme -
The subvention scheme provides a 2% interest reduction on pre-shipment and post-shipment Rupee export credit for employment oriented export sectors. The sectors covered under the scheme already include Handicrafts, Handlooms, Carpets and Small and Medium Enterprises.
The measure is effective from 1 April 2010 however the implementation date is set at 9 August 2010 as trade flows for the stated sectors may only have been affected after the announcement.