Exporters from select labour intensive sectors will be able to access cheaper credit soon as the Government hopes to be ready with its interest subvention scheme in the next two-three months.
"The Finance Ministry has given us the sanction for extending the interest subvention scheme for exports for three years. We are working out the details of the scheme and hope to be ready with it in two-three months," Commerce Secretary Rajeev Kher said at a seminar on the Foreign Trade Policy organised by FICCI on Thursday.
Under the interest subvention scheme, the beneficiary exporters are provided credit at subsidised rates by banks who are later compensated by the Government.
The Commerce Secretary did not elaborate on the subvention rate or the sectors.
"The only thing I can say is that labour intensive sectors will be given prominence," he said.
The Government had discontinued the interest subvention scheme last year due to resource constraints.