New Delhi, Dec 9 (KNN) The Union Cabinet chaired by the Prime Minister, Narendra Modi has approved an additional allocation of Rs 2500 crore for continuation of Interest Equalisation Scheme (IES) till 30 June 2024, said the Commerce Ministry on Friday.

“This would help exporters from identified sectors and all MSME manufacturer exporters to avail pre and post shipment Rupee export credit at competitive rates,” said the government. 

Benefit shall be continued till 30 June, 2024 to manufacturer and merchant exporters of the identified 410 tariff lines at 2 per cent and to all manufacturer exporters from MSME sectors at 3 per cent rates.

The scheme shall be implemented by RBI through various Public and non-Public Sector banks who provide pre and post shipment credit to the exporters. 

It is jointly monitored by DGFT and RBI through a consultative mechanism.

The government sees its impact as availability of pre and post shipment packing credit at competitive rates is important for the exports sector in order to compete internationally. 

(KNN Bureau)