The Export Import Bank of India has extended a $20 million loan to Mozambique, as part of its efforts to increase bilateral trade.
Under the Line of Credit, the Exim Bank would fully re-imburse Indian exporters freight-on-board (FOB) contract value, up-front on shipment of equipments and goods and services to the African country.
The Line of Credit, which the bank claimed to be risk-free export financing, would further boost Indo-Mozambique trade ties as there is considerable demand for Indian capital goods for infrastructure projects, rural electrification and transport sector.
India's exports to Mozambique rose by a robust 38 per cent to US$ 64.74 million in 2003-04.
The impressive increase comes amidst India's 'Focus Africa' initiative, which sought to boost Indian exports to the African continent with an aim to achieve a sizeable share in world's trade.
