RBI / 2004/ 180 IECD No.10 /04.02.01/2003-04
April 24, 2004
The Chairmen/Chief Executives of all commercial
banks
Dear Sir,
Rupee Export Credit Interest
Rates
Please refer to our circular
IECD.No.5/04.02.01/2002-03 dated
October 31, 2003 on the captioned subject.
2. The validity of the interest
rates on rupee export credit indicated in the above circular would now remain
in force upto April 30, 2005. In this connection, you may please refer to circular
No.MPD
248/O7.01.279/2003-04 dated April 23, 2004. The rates of interest
applicable have been incorporated in the Annex to the Directive DBOD
No.BC.81 /13.07.01/2003-04 dated April 24, 2004 enclosed to this circular.
3. Please acknowledge receipt.
Yours faithfully,
(Smt.R.K.Makhija)
Chief General Manager
Encls : as above
Telegrams : `BANKCHALAN’
Post Box No.6089
Mumbai
RESERVE BANK OF INDIA
CENTRAL OFFICE
DEPARTMENT OF BANKING OPERATIONS
AND DEVELOPMENT
CENTRE 1, WORLD TRADE CENTRE,
CUFFE PARADE, COLABA
MUMBAI-400005
DIRECTIVE DBOD.No.BC.81 /13.07.01/2003-04
April 24, 2004
Interest Rates on Advances
In exercise of the powers conferred
by Sections 21 and 35A of the Banking Regulation Act 1949, the Reserve Bank
of India, being satisfied that it is necessary and expedient in the public interest
so to do, hereby directs that with effect from May 1, 2004 the interest rates
on rupee export credit would be as indicated in the Annex enclosed to this Directive.
(P.V.Subba Rao)
Executive Director
Encl : as above
ANNEX
Interest Rates on Rupee Export
Credit of Scheduled Commercial Banks
(Per cent per annum)
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Categories of export credit
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Interest Rates @
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Existing upto
April 30, 2004
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Effective from May 1, 2004 to April 30, 2005
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1. Pre-Shipment Credit
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- i) Upto 180 days
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Not exceeding PLR minus
2.5 percentage points
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Not exceeding BPLR minus
2.5 percentage points
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ii) Beyond 180 days and upto
270 days
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Free*
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Free*
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b) Against incentives receivable from Government
covered by ECGC guarantee upto 90 days
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Not exceeding PLR minus
2.5 percentage points
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Not exceeding BPLR minus
2.5 percentage points
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2. Post-Shipment Credit
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a) On demand bills for transit period (as
specified by FEDAI)
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Not exceeding PLR minus
2.5 percentage points
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Not exceeding BPLR minus
2.5 percentage points
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b) Usance Bills (for total period comprising
usance period of export bills, transit period as specified by FEDAI and
grace period wherever applicable)
i) Upto 90 days
ii) Beyond 90 days and upto 6 months from
the date of shipment
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Not exceeding PLR minus
2.5 percentage points
Free*
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Not exceeding BPLR minus
2.5 percentage points
Free*
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c) Against incentives receivable from Government
covered by ECGC guarantee upto 90 days
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Not exceeding PLR minus
2.5 percentage points
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Not exceeding BPLR minus
2.5 percentage points
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d) Against undrawn balances (upto 90 days)
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Not exceeding PLR minus
2.5 percentage points
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Not exceeding BPLR minus
2.5 percentage points
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e) Against retention money
(for supplies portion only) payable within one year from the date of shipment
(upto 90 days)
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Not exceeding PLR minus
2.5 percentage points
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Not exceeding BPLR minus
2.5 percentage points
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3. Deferred Credit
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Deferred credit for the period beyond 180
days
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Free*
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Free*
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4. Export Credit Not Otherwise specified(ECNOS)
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a) Pre-shipment credit
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Free*
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Free*
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b) Post-shipment credit
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Free*
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Free*
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BPLR : Benchmark Prime Lending rate
@ Note : Since these are ceiling rates,
banks would be free to charge any rate below the ceiling rates.
*Free : The banks are free to
decide the rate of interest to be charged, keeping
in view the BPLR and spread guidelines.
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