BANKING AFFAIRS

Detailed explanation-1: -EXIM Bank provides financial assistance to exporters and importers. It functions as the principal financial institution for coordination the work of institutions engaged in financing export and import of goods and services with a view to promoting the country’s international trade.

Detailed explanation-2: -Guarantees and Bonds EXIM bank provides non-fund based assistance in the form of guarantees in the nature of bid bonds, performance guarantee etc. These guarantees are provided together with commercial banks.

Detailed explanation-3: -Commercial banks play an important role in financing the credit requirements of exporters at different stages of export, viz., pre-shipment and post-shipment stage. Granting of short-term finance for working capital requirements has always remained an area exclusively reserved for the commercial banks.

Detailed explanation-4: -EXIM Bank or Export-Import Bank of India is India’s leading export financing institute that engages in integrating foreign trade and investment with the country’s economic growth.