RBI gave great news to these people, extended the interest equalization scheme till March 2024

The Reserve Bank on Tuesday extended the Interest Equalization Scheme for pre and post shipment rupee credit for MSME exporters till March 2024 with an aim to boost outbound shipments. Explain that exporters get subsidy under the ‘Interest Equalization Scheme for Pre and Post Shipment Rupee Export Credit’. In April last year, this scheme was first extended till the end of June and later till September 2021.

RBI said the interest equalization rates under the scheme have been revised to 2 per cent and 3 per cent for specified categories of MSME manufacturer exporters. “The Government has approved the extension of the Interest Equalization Scheme for Pre and Post Shipment Rupee Export Credit till March 31, 2024 or till further review, whichever is earlier,” the RBI said in a notification. Extension October 1 , takes effect from 2021 and ends on March 31, 2024.”

The scheme will not be applicable to telecom equipment and entities availing benefits under the Production Linked Incentive (PLI) scheme of the government. RBI said that while issuing the approval to the exporter, the bank will have to furnish the prevailing interest rate, interest subvention being provided and the net rate being charged from each exporter, to ensure transparency and greater accountability in the operation of the scheme .

It further said that with effect from April 1, 2022, banks will reduce the rate of interest to be charged from eligible exporters as per the guidelines and submit the original claims in the prescribed format within 15 days from the end of the respective month.

RBI further said that for the period from October 1, 2021 to March 31, 2022, banks will identify eligible exporters as per the scheme, credit the eligible amount of interest equalization in their accounts and claim sector-wise consolidated reimbursement for the period by April 30, 2022. will present to