The Export-Import Bank of India (Exim Bank) has finalized an agreement with the Government of the Co-operative Republic of Guyana to provide a Government of India-supported Line of Credit (LoC) worth USD 2.5 million. This funding is earmarked for the installation of a Solar Photo Voltaic Power Plant at Cheddi Jagan International Airport in Guyana.
The agreement, outlines that at least 75% of the contract value must comprise goods, works, and services sourced from India, with the remaining 25% allowed for procurement from outside India, subject to eligibility under India’s Foreign Trade Policy.
Under the terms, shipments under this LoC must comply with Reserve Bank guidelines, and no agency commission will be payable for exports related to this agreement. However, exporters may use their own resources or Exchange Earners’ Foreign Currency Accounts for commission payments in foreign exchange, subject to regulatory requirements.
The agreement stipulates that disbursement under the LoC must occur within 48 months after the scheduled completion of the project. This initiative underscores India’s commitment to supporting renewable energy infrastructure abroad while promoting bilateral ties and economic cooperation with Guyana.
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