The
Presidents/ CEOs,
All Banks
Dear
Sirs /Madam,
Export Finance Scheme-Refixation of Rates for March, 2006
Please
refer to SMED Circular No. 2 dated January 31, 2006 alongwith
other instructions issued from time to time on the captioned
subject.
2.
It has been decided that rate of refinance under the Export
Finance Scheme notified vide our Circular referred to above
i.e. 7.5% p.a., shall continue to be applicable for the
month of March 2006. The commercial banks shall, however,
ensure that where financing facilities are extended by them
to the exporters for availing refinance facilities under
the Export Finance Scheme, their maximum margin / spread
does not exceed 1.5% p.a.
3 The financing facilities under Part-B (Export Sales) of
the Scheme for financing Locally Manufactured Machinery
shall also attract similar mark up rate structure.
4.
Other instructions on the subject shall remain unchanged.
Please
acknowledge receipt.