ICICI Bank signs Line of Credit with Export Development Canada

Mumbai, Mar 13 (UNI) ICICI Bank and Export Development Canada (EDC), Canada's Export Credit Agency, today signed a Line of Credit (LoC) agreement.

The LoC is currently for an amount of USD 50 million and depending on requirement, may be increased. This LoC is to be utilised to support Indian corporates importing capital goods and availing services from Canada. The LoC is the first of its kind to be extended by EDC to any Indian bank, a bank's release issued here today said.

In November last year, the bank had signed a Memorandum of Understanding (MoU) with EDC to work together on various initiatives to help businesses on both sides and to provide financing support to Indian buyers of capital goods and professional services from Canada.

The LoC is the first of many initiatives that has emerged from the MoU. The LoC is to be used to assist ICICI Bank's customers interested in procuring capital goods and services from Canada and will facilitate projects between Canadian and Indian companies.

Sectors that will benefit from this LoC include telecommunications, power, advanced technology, agriculture, environmental technology, aerospace, transportation, airports, plastics and biotech services.

The LoC was signed by Ramni Nirula, Head, Corporate Banking, ICICI Bank and Eric Siegel, EDC President and Chief Executive Officer in Delhi.

On the occasion Ms Nirula said ''With trade between the two countries growing, ICICI Bank felt that this was an suitable time to establish a LoC for Indian corporates importing from Canada.'' Today Indian companies are going global to fulfill their business requirements. At ICICI Bank, we will continue to provide Indian corporates customised and innovative solutions that will support their global aspirations, she added.

EDC is forming this strategic relationship with ICICI Bank as more Canadian companies are recognizing the importance of India as both a sales market and an investment destination, Mr Siegel said.

The collaboration of ICICI Bank and EDC will help speed the entry of Canadian companies in a rapid-growth market, creating new demand for Canada's technology and know-how, he added.

UNI