India Funds Solar Plant in Guyana: USD 2.5 Million LoC

Mumbai, Jul 8 (PTI) Exim Bank has inked an agreement with the Guyana government to extend an India-supported line of credit (LoC) of USD 2.50 million for the installation of a solar photo voltaic power plant at Cheddi Jagan International Airport in Guyana.

The export of eligible goods and services from India would be allowed, subject to their eligibility under the Foreign Trade Policy of the Indian government and whose purchase may be agreed to be financed by the Export-Import Bank of India under the agreement, the RBI said.

"Out of the total credit by Exim Bank under the agreement, goods, works and services of the value of at least 75 per cent of the contract price shall be supplied by the seller from India, and the remaining 25 per cent of goods and services may be procured by the seller for the purpose of the eligible contract from outside India," the Reserve Bank of India (RBI) said.

The agreement was signed in February.

The agreement under the line of credit is effective from June 24, 2024. Under the LoC, the last date for disbursement will be 48 months after the scheduled completion date of the project.