The Government of India has decided to allocate Rs 3,000 crores to EXIM Bank to provide Lines of Credit giving a boost to project exports. This will promote export by mandating recipient countries to import 75 percent value of the LOC under the Indian Development and Economic Assistance Scheme (IDEAS). Supported projects cover railways, power, transmission, road, and transport auto and auto components, sugar projects, etc.
The government record says that about 811 export contracts have been financed under the Line of Credit aggregating to $10.50 billion. The announcement is part of the Centre’s third round of stimulus which the Finance Minister described as “Atmanirbhar Bharat 3.0”.
Earlier on Thursday, the government announced a fresh set of measures of around 1.2 lakh crore Under the mission. This aims to boost job creation, provide liquidity support to stressed sectors, and encourage economic activity in housing and infrastructure areas. While the Finance Minister announced Rs 65,000 in addition to fertilizer subsidy to support demand.
The Union Finance Minister Nirmala Sitharaman said that the Indian economy is witnessing a strong recovery after major GDP falls down and economic crises in lockdown. The recovery is due to the unrelenting reforms by the Union government.
