Circular No.ES/29/2022-23 1st June, 2022
To: Members of the Council
Sub: Interest Equalization Scheme (IES) on Pre and Post Shipment Rupee Export Credit – Extension
Kindly refer to Council’s earlier Circular No. ES/267/2021-22 dtd. 10th March, 2022 informing about Notification No. RBI/2021-22/180 dated 8th March, 2022 issued by the Reserve Bank of India on the extension of Interest Equalization Scheme on Pre and Post Shipment Rupee Export Credit up to 31st March, 2024 or till further review, whichever is earlier. It was also mentioned that the extended IES would not be available to those beneficiaries who were availing of the benefit under any Production Linked Incentive (PLI) scheme of the Government.
In this regard, RBI has now issued Notification No. RBI/2022-23/60 dtd. 31st May, 2022 clarifying that -
- The extended IES will also be available to such beneficiaries for segments other than for which they have availed of PLI benefits.
- It is further advised that banks shall obtain a Self-Declaration under the IES from the exporters as per the format given in the Annexure to the Notification dated 31st May, 2022.
- These provisions shall be deemed effective from 1st October, 2021 and other provisions of the aforesaid Notification shall remain unchanged.
Members may kindly make a note of the above and do the needful.