SME Times News Bureau | 06 Dec, 2018
Exporters association FIEO on Thursday urged the
government to resolve the bank credit issue so as to enable the sector help
achieve double digit growth.
PSU Banks officials including MDs, EDs, GMs,
AGMs are not accessible to exporters particularly from the MSME sector. This has
tightened the hands of these exporters to take orders, said FIEO President Ganesh
Commerce Minister, Mr Suresh Prabhu, who is taking
several steps to promote exports would not fructify if banks would not lend to
exporters smoothly and at affordable rates, he added.
These banks demand bundles of
documents, collateral and other papers for considering our applications
for smaller limit (Rs one to five crores) of loan. It takes months
and months to get these limits approved and in the mean time we loose our
orders, he further said.
Gupta said similar is the problem with the ECGC, which is very
reluctant to extend insurance cover. They reject claims on very flimsy
I would urge the Commerce Minister to look at the
matter on an urgent basis. If banks and ECGC continue to behave like this,
we would not be able to register double digit growth rate in exports, the FIEO