IBEF: June 18, 2021
On Thursday, Export-Import Bank of India (Exim Bank) announced that it has extended a line of credit (LOC) worth US$ 100 million to the Sri Lankan government for the purpose of funding projects in the solar energy sector and assure that the country’s 70% power requirements are met by renewable energy sources by 2030.
As per a release, so far, the Exim Bank on behalf of the Indian government has extended nine LOCs to Sri Lanka including the signing of this agreement, taking the total value of extended LOCs at US$ 1.68 billion.
Projects covered under the fund extended to Sri Lanka include the supply of petroleum products, infrastructure, defence, railway projects.
So far, Exim Bank has provided 272 LOCs, across 62 countries in Africa, Commonwealth of Independent States (CIS), Asia, Latin America, with credit guarantees of ~ US$ 26.84 billion, available for funding exports from India.
Besides supporting India's exports, Exim Bank's LOCs facilitate the display of Indian capability and project implementation competencies in emerging markets.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.