$80-mln Exim Bank Loan for
Rwanda Power Project

The Export Import Bank of India (Exim Bank) has extended a Line of Credit (LOC) of US$ 20 million to Rwanda to finance the construction of a hydro power project in that country. An Agreement to this effect was signed on October 9, 2007 in New Delhi by the visiting Rwanda's Secretary General and Secretary to the Treasury, Ministry of Finance, Government of Rwanda John Rwangombwa and Exim Bank's Chief General Manager Prabhakar Dalal.

The Government of India's LOCs to developing countries are routed through Exim Bank. This is the first tranche of the US$ 80 mn Line of Credit approved by the Government of India, to the Government of Rwanda.

This is the first ever LOC extended to Rwanda, which will be utilized for setting up the hydro power project. Exim Bank will pay 100% invoice value upfront to Indian Exporters, upon shipment of machinery/provision of services, from India, for execution of the power project in that country.

Besides promoting India's exports, Exim Bank's LOCs enable demonstration of Indian expertise and project execution capabilities in emerging markets.

With the signing of this LOC Agreement, Exim Bank has now in place 80 Lines of Credit, covering 84 countries in Africa, Asia, Latin America, Europe and the CIS, with credit commitments amounting to US$ 2.7 bn, available for utilization for financing exports from India. Exim Bank's LOCs afford a risk-free, non-recourse export financing option to Indian exporters.

Exim Bank to Help Rehabilitate Ethiopian
Sugar Industry
An eight-member Ethiopian delegation led by Ethiopia's State Minister of Finance and Economic Development Mekonnen Manyazewal visited India recently to negotiate an Agreement for a Line of Credit (LOC) to finance sugar industry rehabilitation in Ethiopia. On the conclusion of the visit, an Agreement for a Line of Credit of US$ 122 million was signed by the Ethiopian Minister and Exim Bank of India's Chief General Manager Prabhakar Dalal, in New Delhi, on October 4, 2007. The Government of India's LoCs to developing countries are routed through Exim Bank.

Speaking on the occasion, the Ethiopian Minister outlined his country's plans to expand capacities of three existing sugar plants and to set up a fourth greenfield sugar plant in Ethiopia. The Minister stated that almost 50% of Ethiopia's GDP is contributed by agriculture and allied activities and sugarcane is one of the important crops in Ethiopia. Ethiopia's GDP growth rate of over 10% for the past four years puts Ethiopia among the fastest growing economies in the world.

Dalal stated that this is the second LOC to Ethiopia, close on the heels of the first LOC of $65 million extended for setting up an Electricity Transmission and Distribution Project in Ethiopia.

Besides promoting India's exports, Exim Bank's LOCs enable demonstration of Indian expertise and project execution capabilities in emerging markets.

Indian And Nigerian Exim Banks Sign Pact

Export-Import Bank of India (Exim Bank) has extended a Line of Credit (LOC) of US$ 5 million to the Nigerian Export Import Bank (Neximbank). The LOC Agreement to this effect was signed in Accra, Ghana, on September 14, 2007, by Exim Bank's Chairman & Managing Director T.C. Venkat Subramanian and A. Baba Yusuf Ahmed, Managing Director & Chief Executive Officer, Neximbank. The Agreement was signed on the sidelines of the 2007 Annual General Meeting of African Export-Import Bank (Afreximbank) in Accra, Ghana, where members of GNEXID (Global Network of Exim Banks and Development Financial Institutions) are also meeting. GNEXID is an initiative launched by Exim Bank of India, under the auspices of UNCTAD, for Exim Banks and Development Finance Institutions, across the continents, for engaging in reciprocal activities towards promotion of trade and investment.

The LOC of US$ 5 million has been extended to the Neximbank for financing export of capital and engineering goods, industrial manufactures, consumer durables, commodities and services from India to Nigeria. Under the LOC to Neximbank, importers based in Nigeria will make advance payment of 10% of contract value and Exim Bank will provide credit for 90% of contract value to Neximbank. Exim Bank will reimburse Indian exporters upfront upon the shipment of goods and provision of services. Credit period is up to five years.

Neximbank has its Head Office in the Nigerian capital of Abuja. Nigeria, which is a major oil producing country in Africa, is one of the growing economies in the African region. The main items of exports from India to Nigeria are non-basmati rice, manufactures of metals, machinery and instruments, drugs & pharmaceuticals, paper & wood products, petroleum products. Exim Bank's LOC to Neximbank will help strengthen India's trade relations with Nigeria, further.

Exim Bank has in place 78 Lines of Credit, covering over 80 countries in Africa, Asia, Latin America, Europe and the CIS, with credit commitments amounting to US$ 2.5 bn, available for utilization for financing exports from India. Exim Bank's LOCs afford a risk-free, non-recourse export financing option to Indian exporters.

Exim Bank Extends $45-mln LOC to Mali
The Export-Import Bank of India (Exim Bank) has, at the behest of the Indian Government, extended a Line of Credit (LOC) of US$ 45 million to Mali, under the "Team-9 Initiative". The LOC Agreement to this effect has been signed in New Delhi, on 14 August, 2007, by Exim Bank Chief General Manager Prabhakar Dalal and Abou Bakar TRAORE, Minister of Economy and Finance of Mali.

This LOC of US$ 45 million is a second and final tranche of US$ 75 million extended to the Government of Mali for financing an inter-country project involving transmission and distribution of electricity from Côte d'Ivoire to Mali. Additionally, Exim Bank already has in place two Lines of Credit, amounting to US$ 47.62 million, that have been extended to the Government of Mali for rural electrification and for acquisition of railway coaches and locomotives from India.

Team-9 envisages a special cooperation model between India and 8 countries of West Africa, viz. Burkina Faso, Chad, Côte d'Ivoire, Equatorial Guinea, Ghana, Guinea Bissau, Mali and Senegal. Under the Team-9 initiative, GOI provides LOCs through Exim Bank to Team-9 countries to finance setting up of various projects by Indian companies in these countries. The LOC being extended by Exim Bank is yet another initiative towards facilitating the demonstration of India's capability and expertise in the emerging markets. Under the LOC to Mali, Exim Bank will reimburse 100% of contract value to the Indian exporters, upfront upon the shipment of goods.

Exim Bank has in place 78 Lines of Credit, covering over 80 countries in Africa, Asia, Latin America, Europe and the CIS, with credit commitments amounting to US$ 2.3 bn, available for utilization for financing exports from India. Exim Bank's LOCs afford a risk-free, non-recourse export financing option to Indian exporters.