The Hindu Business Line : $1.5-b line of credit to Africa on cards

THE Government is considering making available a $1.5-billion line of credit, exclusively for importers of Indian pharmaceuticals from the sub-Saharan African countries.

Importers in these countries will get credit out of this fund to pay the Indian suppliers.

Disclosing this at a meeting organised here by the Federation of Indian Export Organisations, Mr R. Viswanathan, Joint Secretary, Ministry of External Affairs, who looks after trade and investment promotion, said that the line of credit will be spread over five years.

The FIEO meeting was an interaction with their members and the Indian commercial representatives from West European countries.

"We would like to promote HIV-related products," Mr Viswanathan said.

Currently, the Ministry of External Affairs and the Department of Economic Affairs are jointly working out the scheme.

There is already another line of credit for Africa, under the `The New Partnership for Africa's Development' project. Under this international programme, the government opened last July a line of credit, with $ 200 million as the "initial contribution".

More money would be made available, if there is a demand for funds. No disbursement has taken place as yet out of this fund.

Mr Viswanathan said that economic diplomacy was the need of the hour. He observed that economic diplomacy had won (Telco) an export order for 500 buses from Senegal beating the French last year.

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