Role of exim bank in export financingPresentation Transcript
For the subject of . . . . . . Export Documentation and Procedures mba - 853 By . . . . . . . . . . . . . . . . . . . . . . . . . . Raman Sethi (08) Harshul Nagpal (50) Institute of Management Studies, Kurukshetra University, Kurukshetra. A Presentation on ‘ Role Of EXIM Bank in Export Financing ’
Finance and credit are available to help not only export production but also to sell to overseas customers on credit.
There are different schemes like:
Pre-shipment or packing credit,
Post-shipment Credit and/or
Finance for Deferred Payment Exports .
Both pre-shipment and post-shipment credits are also available in foreign currency.
What is Export Finance ?
Financial Assistance is extended by the banks to the exporters at Pre-shipment and Post-shipment stages.
Pre-shipment finance is provided for working capital for the purchase of raw material, processing, packaging, transportation, warehousing etc. of the goods meant for export.
Post-shipment finance is generally provided in order to bridge the gap between shipment of goods and the realization of proceeds.
Key Points in Export Financing
There are a lot of benefits of exporting and lot of financial risk involved as well. It is important to fully understand the risks and the government regulations before selling overseas.
Export financing is loans made for the shipping of products outside a country.
Utilizing a factoring house overseas is one of the creative methods for export financing.
Make sure your business has a plan that is clear for the potential lenders and investors about the direction your company is going.
Always know where your business can gain access to sources of capital that is both fast, easy, and free.
For Indian Companies Executing Contracts Overseas
For Project Exporters
For Exporters of Consultancy and Technological Services
Deferred Payment Exports
Term Loans for Export Production
Overseas Investment Finance
Finance for Export Marketing
For Commercial Banks
Export Bills Rediscounting
Refinance of Supplier's Credit
Guaranteeing of Obligations
For Overseas Entities
Lines of Credit
Relending Facility to Banks Overseas
FINANCE FOR EXPORT ORIENTED UNITS
Term Finance (For Exporting Companies)
Import of Technology & Related Services
Domestic Acquisitions of businesses/companies/brands
Export Product Development/ Research & Development
General Corporate Finance
Working Capital Finance
(For Exporting Companies)
Working Capital Term Loans (< 2 years)
Long Term Working Capital (up to 5 years)
Export Bills Discounting
Export Packing Credit
Cash Flow financing
Letter of Credit Limits
Term Finance ( For Non- Exporting Companies )
Import of Equipment
Working Capital Finance ( For Non- Exporting Companies )