Govt extends export credit scheme by a month to Sept 30

New Delhi: The government has extended the interest equalisation scheme on pre- and post-shipment rupee export credit for one more month till September 30 this year to promote the country's outbound shipments.

In a trade notice, the Directorate General of Foreign Trade (DGFT) said that this extension is applicable only for MSME manufacturing exporters.

The scheme which provides exporters interest benefits ended on August 31. In June, it was extended for two months. It helps exporters from identified sectors and all MSME manufacturer exporters to avail of rupee export credit at competitive rates at a time when the global economy is facing headwinds.


“Trade and industry is hereby informed that the Interest Equalization Scheme for Pre and Post Shipment Rupee Export Credit, which had earlier been extended up to August 31 as a fund limited scheme, has been further extended for one month i.e., up to September 30, 2024,” DGFT said.

The scheme is fund-limited, and benefits to individual exporters are capped at Rs 10 crore per annum per Import Export Code.

On December 8, 2023, the Union Cabinet approved an additional allocation of Rs 2,500 crore for the continuation of the scheme up to June 30.