| |
Export-Import
Bank of India:
A
Partner &
Promoter of Africa's
Economic Growth
Export Import
Bank of India
(Exim Bank) through
its number of
financing, advisory
and support programmes
has been striving
to facilitate
and promote India's
trade and investment
relations with
the African region,
in line with Government
of India's initiatives.
Exim Bank has
representative
offices in Durban,
South Africa;
and Dakar, Senegal,
which play an
important role
in facilitating
economic cooperation
with the African
region, and are
closely associated
with several of
Bank's initiatives
in Africa. The
representative
offices interface
with institutions
such as Industrial
Development Corporation
of South Africa
Ltd., African
Development Bank,
regional financial
institutions such
as Eastern and
Southern African
Trade and Development
Bank (PTA Bank),
Afrexim Bank,
and West African
Development Bank
(BOAD), among
others, as well
as Indian missions
in the region.
Promoting Infrastructure
Development &
Capacity Building
Exim Bank of India
plays a pivotal
role in promoting
and financing
Indian companies
in execution of
projects. Towards
this end, the
Bank extends funded
and non-funded
facilities for
overseas industrial
turnkey projects,
civil construction
contracts, supplies
as well as technical
and consultancy
service contracts.
In the Africa
region, Indian
companies have
implemented numerous
projects in Africa,
spanning various
sectors, with
such support from
Exim Bank of India.
These projects,
in turn, facilitate
and support infrastructure
development in
host countries,
thereby contributing
to the overall
development process
in the region.
To enhance bilateral
trade and investment
relations, Exim
Bank of India
has in place several
Lines of Credit
(LOCs) extended
to a number of
institutions/
agencies in Africa.
These LOCs are
aligned with the
“Focus Africa”
programme of the
Government of
India and are
extended especially
to priority sectors,
identified by
Government of
India for mutual
cooperation and
benefit. Currently,
66 LOCs are in
operation amounting
to over US$ 2.25
billion covering
47 countries in
the African region.
These LOCs facilitate
import of project-related
equipments and
services from
India on deferred
credit terms.
At the same time,
many of these
LOCs are earmarked
for infrastructure
and related projects.
Finance for Joint
Ventures Overseas
Further, Exim
Bank of India
supports Indian
companies in their
endeavour to globalise
their operations,
through joint
ventures (JVs)
and wholly owned
subsidiaries (WOS).
Such support includes
loans and guarantees,
equity finance
and in select
cases direct participation
in equity along
with Indian promoter
to set up such
ventures overseas.
In the African
region, the Bank
has supported
several such ventures
in countries such
as South Africa,
Kenya, Mauritius,
Nigeria, Zambia,
Morocco, Uganda
and Tanzania,
in areas such
as pharmaceuticals,
chemicals, fertilizers,
textiles, agro-based
products, plastics
& rubber products,
electronics, engineering
goods, cycles
and telecom systems.
These ventures
serves to promote
value addition,
as also contribute
to capacity building
and capacity creation
in host countries.
Association with
African Development
Bank (AfDB)
India is a member
of African Development
Bank (AfDB), with
an equity stake
of 0.25 percent.
Many Indian companies
participate in
projects funded
by African Development
Bank Group. Exim
Bank works very
closely with African
Development Bank
and has an active
programme which
offers a range
of information,
advisory and support
services to Indian
companies to enable
more effective
participation
in projects funded
by Multilateral
Funding Agencies
such as African
Development Bank.
Exim Bank assists
Indian companies
in projects supported
by African Development
Bank by not only
extending fund
and non-fund based
assistance, but
also by providing
advance alerts
on upcoming opportunities.
Exim Bank also
organizes, in
various centres
in India, Business
Opportunities
Seminars in Projects
funded by African
Development Bank,
with the recent
seminars conducted
in New Delhi (November
25-26, 2008) and
Mumbai (November
27-28, 2008).
Supporting Private
Sector Development
The financing
programmes of
the Bank are supplemented
by the various
advisory services
for facilitating
participation
of Indian companies
in projects supported
by multilateral
agencies in Africa.
Exim Bank of India
has tie-ups with
institutions such
as the International
Finance Corporation
(IFC), the PTA
Bank, to facilitate
provision of consultancy
support services
in African countries.
Over 50 assignments
have been supported
by Exim Bank under
the arrangements
with IFC and PTA
Bank spanning
various sectors
in African countries.
Partner in Institutional
Building in Africa
As a partner institution
in promoting economic
development in
Africa, Exim Bank
of India shares
its experience
in the setting
up of institutional
infrastructure
for international
trade. In this
regard, the Bank
has taken active
participation
in the institutional
building process
in a number of
countries in Africa.
Besides being
associated in
the setting up
of the Afrexim
Bank, the Bank
has been involved
in the design
and implementation
of Export Finance
Programmes of
Industrial Development
Corporation, South
Africa; Consultancy
Assignment for
the Government
of Mauritius on
'Projecting Mauritius
as an investment
hub for Indian
Firms'; establishment
of Export Credit
Guarantee Company
in Zimbabwe; and
preparing a blue
print for setting
up of Export-Import
Bank of Zimbabwe.
Exim Bank of India
has taken the
initiative for
the setting up
of Global Procurement
Consultants Ltd.
(GPCL), in partnership
with leading consultancy
firms in India,
for providing
procurement related
advisory services
particularly in
the case of multilateral
agencies such
as World Bank
and African Development
Bank. GPCL has
undertaken a number
of assignments
in many countries
in Africa including
Tanzania, Swaziland,
Sudan, Nigeria,
Uganda, Malawi,
and Mozambique.
Institutional
Linkages
Exim Bank of India
has been consciously
forging a network
of alliances and
institutional
linkages to help
further economic
co-operation with
the Africa region.
Towards this end,
Exim Bank has
taken up equity
in Afrexim Bank,
West African Development
Bank (BOAD), and
Development Bank
of Zambia. These
endeavours are
supplemented by
the various Memoranda
of Cooperation
(MOCs)/ Memoranda
of Understanding
(MOUs) the Bank
has in place with
key institutions
in the African
region including:
African Development
Bank (AfDB); Eastern
and Southern African
Trade and Development
Bank (PTA Bank);
Afrexim Bank;
Nigerian Export-Import
Bank (NEXIM);
Banque Internationale
Arabe de Tunisie,
Tunisia; Board
of Investment
of Mauritius;
Industrial Development
Bank of Sudan;
Industrial Development
Corporation of
South Africa Limited
(IDC); Foreign
Investment Promotion
Agency, Tunisia;
Societe Tunisienne
de Banque, Tunis.
Exim Bank of India
is a member of
the African Development
Finance Institutions
(AADFI), whose
helps provides
a platform for
building linkages
with other institutions
in Africa, which
are members of
AADFI.
Knowledge Building
& Technology
Transfer
In the area of
knowledge and
capacity building
and technology
transfer, Exim
Bank of India's
research studies
have focused on
potential areas
for boosting India's
trade and investment
relations with
the Southern African
Customs Union
(SACU) member
countries, Southern
African Development
Community (SADC)
member countries,
Economic Community
of West African
States (ECOWAS)
member countries,
members of the
Common Market
for Eastern and
Southern Africa
(COMESA), West
African Countries,
as also the member
countries of Maghreb
region. Further,
Exim Bank of India's
bilingual (English
and French) magazine
titled “Indo-African
Business”
focuses on bilateral
trade and investment
between India
and Africa, and
addresses the
business information
needs of companies
who are interested
in trade with
the African region.
Exim Bank's publication
'Market Maker'
has been brought
out with the objective
of sharing select
food processing
technologies developed
by the Central
Food Technological
Research Institute
(CFTRI), Mysore,
that are most
relevant for African
countries.
Conclaves on India-Africa
Project Partnership
Exim Bank of India
has been a key
partner in the
conclaves on India-Africa
Project Partnerships,
which has been
creating platforms
for decision makers
from African countries
and relevant multilateral,
regional and national
funding agencies.
Global Network
of Development
Finance Institutions
& Exim Banks
(G-NEXID)
At the joint initiative
of Exim Bank and
UNCTAD, a Global
Network of Exim
Banks and Development
Financial Institutions
(G-NEXID) was
launched in March
2006 in Geneva.
Annual Meetings
are held to deliberate
upon measures
to foster long-term
relationship,
share experience,
and strengthen
financial cooperation
to promote trade
and investment
relations between
developing countries.
A number of institutions
from Africa are
G-NEXID members,
which include;
Afrexim Bank,
PTA Bank, East
African Development
Bank, Development
Bank of Namibia,
Development Bank
of Zambia, Industrial
Development Bank
of Kenya and Industrial
Development Corporation
of South Africa.
|
