Exporters seek 1-year loan repayment break to avoid defaults
Indian exporters, led by the Federation of Indian Export Organisations (FIEO), are urging the Reserve Bank of India to give them a one-year pause on loan repayments.
Faced with high US tariffs and global markets shaky, they say this break is needed to avoid defaults and keep businesses afloat.
Other demands include longer export payment time
Exporters also want a government-backed credit scheme—like the one rolled out during COVID-19—to help small businesses access funds.
They're pushing for more time to receive export payments (12 months instead of 9) since overseas buyers are often late.
Plus, they're asking for longer pre-shipment credit (up to one year) due to supply chain delays, lower interest rates until the Interest Equalisation Scheme (IES) is reinstated, and simpler rules for small e-commerce exports.