Interest Equalisation Scheme on Pre and Post Shipment, RBI

RBI Notification to Interest Equalisation on Pre and Post Shipment Rupee Export Credit

 

RBI/2018-19/81
DBR.Dir.BC.No.09/04.02.001/2018-19

November 29, 2018

All Scheduled Commercial Banks (excluding RRBs)

Small Finance Banks and

Primary (Urban) Cooperative Banks

Dear Sir / Madam,

Interest Equalisation Scheme on Pre and Post Shipment Rupee Export Credit

Please refer to the operational instructions for the captioned scheme contained in RBI circular on Interest Equalisation Scheme on Pre and Post Shipment Rupee Export Credit issued vide DBR.Dir.BC.No.62/04.02.001/2015-16 dated December 4, 2015 and DCBR.CO.SCB.Cir.No.1/13.05.000/2015-16 dated February 11, 2016.

In this regard, it has been decided by the Government of India to increase w.e.f. November 02, 2018 Interest Equalisation rate from 3% to 5% in respect of exports by the Micro, Small & Medium Enterprises (MSME) sector manufacturers under the Interest Equalisation Scheme on Pre and Post Shipment Rupee Export Credit.

In terms of para 2(c) of the Annex to the aforesaid RBI circulars, the Scheme is available to all exports under 416 tariff lines [at ITC (HS) code of 4 digits] and exports made by MSMEs across all ITC(HS) codes. It is therefore, advised that the benefit of the scheme be provided to all eligible MSME Exporters.

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Yours faithfully,

(PrasantKSeth)
General Manager

 


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