An Introduction to Exim Bank was given to us by ________ and then briefed acbout the Indian Economy.

Introduction to Exim bank Export-Import Bank of India is the premier export finance institution of the country, set up in 1982 under the Export-Import Bank of India Act 1981. Government of India launched the institution with a mandate, not just to enhance exports from India, but to integrate the countrys foreign trade and investment with the overall economic growth. Since its inception, Exim Bank of India has been both a catalyst and a key player in the promotion of cross border trade and investment. Commencing operations as a purveyor of export credit, like other Export Credit Agencies in the world, Exim Bank of India has, over the period, evolved into an institution that plays a major role in partnering Indian industries, particularly the Small and Medium Enterprises, in their globalisation efforts, through a wide range of products and services offered at all stages of the business cycle, starting from import of technology and export product development to export production, export marketing, preshipment and post-shipment and overseas investment. Indian Economy After witnessing robust real GDP growth of 8.4 per cent in two consecutive years, the Indian economy had witnessed a lower growth of 6.5 per cent in 2011-12, reflecting lower global demand, domestic policy uncertainties and the cumulative impact of monetary tightening. As evident from the good performance in services sector, moderation in real GDP growth in 2011- 12 can be mainly attributed to lower agricultural output and weakening industrial growth.

Growth has been especially robust in the two sectors, namely, electricity and cement. Electricity generation grew by 8.1 per cent during 2011-12, as compared to 5.6 per cent growth during 2010-11. Cement production registered a growth of 6.7 per cent during 201112 compared to 4.5 per cent growth during 2010-11. Petroleum refinery production grew by 3.2 per cent during 2011-12 compared to a growth of 3 per cent during 2010-11. Production of coal recovered in 2011-12, registering a growth of 1.2 per cent from a negative growth of 0.2 per cent witnessed during 2010-11. Fertilisers witnessed a moderate growth of 0.4 per cent during 2011-12, as compared to a zero growth recorded in 2010-11. Direction of Exports

The direction of Indian merchandise exports has been shifting towards Asia, Africa and LAC region. Share of Asia region has increased sharply from 44 percent in 2002-03 to 52 percent in 2011-12 ; of this, share of ASEAN region rose from 8.8 percent to 12 percent during this period. Further trade flows are likely to be geared towards developing nations, buttressed by Government of India's policies.

The share of developing countries in Indias top 20 export markets have increased from 19 percent in 2002-03 to 27 percent in 2011-12. USA, which was the largest export destination accounting for 20.7 percent of Indias exports in 2002-03, now accounts for just 11.3 percent of Indias total export. The share of UAE in Indias total exports, on the other hand, increased from 6.3 percent of Indias total exports in 2002-03 to 11.8 percent in 2011-12, thus becoming the largest export market for India. It is interesting to see that China, which was the sixth-largest export destination of India in 2002-03 emerged as the thirdlargest export destination in 2011-12, while increasing its share in India's total exports from 3.8 percent to 5.9 percent during the same period. Banks grassroots initiatives Help BPL families Exim Bank supported an enterprise employing women from below poverty line families for manufacturing off-the-loom tasar silk products in Bhagalpur, Bihar. The company works on sustainable livelihood projects for poor families. The Bank also supported an artisans and farmers cooperative society in Uttarakhand, which produces naturally dyed silk and wool textiles. Financial support was also given to Traditional AYUSH Cluster in Tamil Nadu for setting up a common infrastructure facility for Indian systems of medicine. Exim Banks interventions augmented the export potential of these enterprises.