Commonwealth Secretariat to help Sri Lanka set up Exim Bank

Mar 17, 2016 (LBO) – Sri Lanka’s exporters will soon see the setting of an Exim Bank for their credit purposes with the help of Commonwealth Secretariat, a senior official from the Secretariat said.

“Having learnt of the proposal we at Commonwealth Offices in London gave the first Exim Bank concept paper to the Government of Sri Lanka and are now ready to give technical assistance to set up,” Rashmi Banga, Head of Trade Competitiveness of Commonwealth Secretariat said at a forum in Colombo, Wednesday.

“Sri Lankan exporters need better export financing-they are on credit and they don’t have working capital so they have to look for bank overdrafts which the banks are reluctant to issue,”

The proposed Exim Bank will solve this greatly,  she said since Sri Lanka Export Credit Insurance will guarantee the order and Exim Bank can finance it based on the guarantee.

The Indian Exim Bank was set up by the Secretariat ‘s technical assistance.

An Exim Bank to help the Lankan exporters was proposed by the Lankan Finance Minister during his recent Parliamentary budget speech.