"ECGC launches new scheme to provide up to 90% export credit risk insurance cover for small exporter
: Export credit provider Export Credit Guarantee Corporation of India (ECGC) has launched a new scheme to insure up to 90 percent of the credit risk in export finance, supporting small exporters by encouraging banks to provide more credit for export amid global economic uncertainty. The risk cover, provided by banks under the Export Credit Insurance for Banks Whole Turnover Packaging Credit and Post Shipment (ECIB- WTPC & PS), will also enable small exporters to explore new markets and new buyers, and diversify their existing product portfolio competitively, ECGC said.
“We expect the cover to play a game-changing role,” said ECGC Chairman M Senthilnathan at a press conference on Tuesday. He added, “By giving 90 percent cover to banks, we expect more small companies to get export credit from banks, benefiting these industries greatly. We expect banks to provide more concessions. The net effect will benefit exporters, reducing interest rates.”