HDFC Bank, India’s leading private sector bank, has signed a Master Inter Bank Credit Agreementwith Export Import Bank of Korea for a US $ 300 million line of credit.The pact was signed at GIFT City, Gujarat. This will help HDFC Bank raise foreign currency funds which it would extend to Korea-related businesses.
This line of credit would be utilised by HDFC Bank towards funding requirements of
- Companies having equity participation by Korean companies
- Companies having business relationship with Korean companies
- Consumers for purchase of cars manufactured by Korea related Companies
The pact is likely to promote and increase the bank’s business with Korean entities and products.The first drawdown under the program would happen by May.
“Our agreement with Korean Eximbank will further strengthen and support trade and investment flows between India and Korea which can potentially create more jobs in the country.We will pursue deals under this agreement and may look to expand the programme”,said Mr. Arup Rakshit, Group Head, Treasury, Sales Analytics and Overseas Business, HDFC Bank
The signing ceremony was attended by Export Import Bank of Korea’s team led by Mr. Choun-Jae Lee, Director General, Head of Interbank Finance Department. Others present on the occasion from Export Import Bank of Korea were, Ms. Ki-young Jung, Senior Loan Officer, Interbank Finance Department and Mr. Kisang Kim, Chief Representative, New Delhi Representative Office. HDFC Bank was represented by Mr. Arup Rakshit, Group Head Treasury,Sales, Analytics and Overseas Business, Mr. Kapil Bansal, Executive Vice President, Head Overseas Business Treasury, Mr. Anand Iyer, Head GIFT City IBU.