India's Government have decided to enhance the equity base of the Export Credit Guarantee Corporation of India Ltd. (ECGC) from Rs. 500 crore to Rs. 800 crore over the 10th Five Year Plan period.
The financial requirement for this purpose will be Rs. 300 crore at the rate of Rs. 100 crore per year for 3 years to be provided as a Plan allocation. This was announced by Shri Kamal Nath, Union Minister of Commerce & industry.
Enhancement of equity base is as per accepted norms followed in other countries and are meant to increase the capacity of ECGC to extend cover to medium term and long term projects in addition to the short term projects and to underwrite project exports, Shri Kamal Nath said.
