The Export-Import Bank of India Act, 1981

THE EXPORT-IMPORT BANK OF INDIA ACT, 1981

This Act establishes a corporation known as the Export-Import Bank of India for providing financial assistance to exporters and importers. The Exim Bank will function as the principal financial institution for coordinating the working of institutions engaged in financing export and import of goods and services.

Key Provisions:

• The Exim Bank's authorized capital is ₹10,000 crores.


• The Central Government may grant loans to the Exim Bank on such terms and conditions as may be agreed upon.


• The Exim Bank may borrow money from the Reserve Bank or other financial institutions in India.


• The Exim Bank may receive gifts, grants, donations, or benefactions from the Government or any other source.

CHAPTER II: ESTABLISHMENT OF THE EXPORT-IMPORT BANK OF INDIA AND INCORPORATION THEREOF

The Exim Bank will be established as a corporation with perpetual succession and a common seal. The head office of the Exim Bank shall be at Bombay (now Mumbai), and it may establish offices, branches, or agencies at such places in or outside India as it may consider necessary.

CHAPTER III: MANAGEMENT OF THE EXIM BANK

The general superintendence, direction, and management of the affairs and business of the Exim Bank shall vest in the Board. The chairman and managing director (or whole-time directors) shall exercise all powers and do all acts and things which may be exercised or done by the Exim Bank.

CHAPTER IV: BUSINESS OF THE EXIM BANK

The Exim Bank may grant loans and advances in or outside India for the purposes of export or import. The Exim Bank may also carry on various kinds of business, including granting loans to scheduled banks, underwriting the issue of stocks or shares, issuing bid bonds or guarantees, accepting bills of exchange or promissory notes, and doing other acts which the Central Government may authorize.

CHAPTER V: RESOURCES OF THE EXIM BANK

The Central Government may advance a loan of ₹2,000 crores to the Exim Bank on such terms and conditions as may be agreed upon. The Exim Bank may also borrow money from the Reserve Bank or other financial institutions in India for purposes of financing export or import.

CHAPTER VI: EXPORT DEVELOPMENT FUND

The Exim Bank shall establish a special fund called the Export Development Fund to promote international trade. To this Fund, all amounts received by way of loans, gifts, grants, donations, or benefactions from the Government or any other source in or outside India may be credited.

CHAPTER VII: GENERAL FUND, ACCOUNTS AND AUDIT

All receipts and payments by the Exim Bank shall be credited to a fund called the General Fund. The balance-sheet and accounts of the Exim Bank shall be prepared in such form and manner as may be prescribed. The Board shall cause the books and accounts of the Exim Bank to be closed and balanced as on the 31st day of December each year.

CHAPTER VIII: TRANSFER OF PART OF BUSINESS OF DEVELOPMENT BANK

The Central Government may transfer a part of the business of the Development Bank to the Exim Bank.