Interest Equalisation
Scheme on Pre and Post Shipment Rupee Export Credit
The
Government of India has announced the Interest Equalisation Scheme on Pre and
Post Shipment Rupee Export Credit to eligible exporters. The scheme is
effective from April 1, 2015. The details of the scheme are enclosed.
2.
Accordingly, scheduled Urban Cooperative Banks holding AD Category I licences
are eligible under the Scheme and are advised to adhere to the following
operational procedure for claiming reimbursement:
A.
Procedure for passing on the benefit of interest equalisation to exporters:
(i)
For the period April 1, 2015 to January 31, 2016 banks shall identify the
eligible exporters as per the Government of India scheme and credit their
accounts with the eligible amount of interest equalisation.
(ii)
From the month of February 2016 onwards, banks shall reduce the interest rate
charged to the eligible exporters as per our extant guidelines on interest
rates on advances by the rate of interest equalisation provided by Government
of India.
(iii)
The interest equalisation benefit will be available from the date of
disbursement up to the date of repayment or up to the date beyond which the
outstanding export credit becomes overdue. However, the interest equalisation
will be available to the eligible exporters only during the period the scheme
is in force.
B.
Procedure for claiming reimbursement of interest equalisation benefit already
passed on to eligible exporters:
(i)
The sector-wise consolidated reimbursement claim for the period April 1, 2015
to January 31, 2016 for the amount of interest equalisation already passed on
to eligible exporters should be submitted to RBI by February 29, 2016.
(ii)
The sector-wise consolidated monthly reimbursement claim for interest
equalisation for the period February 2016 onwards should be submitted in
original within 15 days from the end of the respective month, with bank's seal
and signed by authorised person, in the prescribed format given in Annex I.
(iii)
The claims should be accompanied by an External Auditor's Certificate (with
stamp and membership number) certifying that the claim for interest
equalisation of Rupees…………….. for the month ended ………….. has been verified and
found to be strictly in accordance with the provisions of the Government scheme
enclosed with the circular DCBR.CO.SCB.Cir. No.1/13.05.000/2015-16 dated
February 11, 2016. Claims for reimbursement will be considered for settlement only
after receipt of this certificate.
(iv)
The claims may be submitted to the Principal Chief General Manager, Department
of Cooperative Bank Regulation, Reserve Bank of India, Central Office, C-7
Bandra Kurla Complex, 1st and 2nd Floor, Bandra (East), Mumbai – 400051.
(v)
The reimbursement of interest equalisation claim will be made as and when the
funds are received from Government of India.
