The Export and Import Bank of India will raise foreign currency debt worth ₹13,000 crore in 2015-16 to fund its proposed projects, said David Rasquinha, Deputy Managing Director of the bank.
Pointing out that the Centre has earmarked ₹1,300 crore to be infused into the bank as equity, he said the bank can raise up to 10 times that amount as debt to grow its business. In the current financial year, it raised $2.5 billion.
It has also submitted its study on business potential in countries such as Laos, Vietnam, Cambodia and Myanmar, to explore Indian exporters’ business possibilities with these countries. As of now, of the bank’s overall business, 40 per cent is accounted for by African countries and another 35 per cent by SAARC countries. Now the Exim Bank wants to spread its net wider to cover other countries in Asia. “We found that there are great business opportunities in these South East Asian countries, which our exporters can tap.”
To a question on whether any deal has been signed, he said the bank is yet to pursue exporters to explore possibilities. “Exporters are not doing enough to explore newer markets. After all, we can only lead the horse to the water, but we can’t force him to drink,” he added.
As of now, there are 374 export contracts valued at $27 billion supported by the bank under execution in 78 countries across Asia, Africa and CIS by 112 Indian companies.
Quoting the Asian Development Bank, he said during the 10 year period of 2010-20, the largest infrastructure investment needs are in the SAARC region with investment to the tune of $7.84 trillion. However, going by the current level of trade between India and SAARC, it is evident that there exists tremendous potential for increasing the level of trade with the region, he said.