Mumbai: The Union cabinet on Wednesday approved issuance of recapitalization bonds by the Government of India to the tune of ` 6,000 crore for capital infusion in Export Import Bank of India (Exim Bank). The equity will be infused in two tranches of ` 4,500 crore in FY 2018-19 and ` 1,500 crore in FY 2019-20 respectively. The infusion of capital into Exim Bank will enable it to maintain capital adequacy and support Indian exports with enhanced ability.
The Cabinet also approved an increase in the authorized capital of Exim Bank from ` 10,000 crore to ` 20,000 crore.
Exim Bank works towards promoting India’s international trade and investment. The Bank offers Indian companies a comprehensive range of products and services, supported by analysis and research, with a view to enhancing their international competitiveness. The Bank supports Indian exporting companies in their globalization efforts through a variety of lending programmes.