Mumbai (Maharashtra) [India], October 1 (ANI): After approval for listing of state-owned Export Credit Guarantee Corporation (ECGC) Ltd through the initial public offer (IPO) on the stock exchanges, M Senthilnathan, the Chairman and Managing Director of ECGC on Thursday said that the corporation hopes that the listing process would be completed by the last quarter of the financial year 2023.
"We do hope that the listing process (launch of the initial public offering--IPO) will be done by the last quarter of the financial year 2023," Senthilnathan said.
He also thanked the Centre government for capital infusion of Rs 4,400 crore to ECGC over 5 years and said that in terms of efficiency, the corporation would operate like a private company.
"We thank Centre for supporting us. Though we're a government company, we'll operate like a private company in terms of efficiency parameters not in terms of withdrawing support when the exporters face tough times," Senthilnathan said.
Union Minister of Commerce and Industry Piyush Goyal on Wednesday said that the Union Cabinet has approved the listing of state-owned Export Credit Guarantee Corporation (ECGC) Ltd through the initial public offer (IPO) on the stock exchanges.
While addressing the press conference, Goyal said, "The Union Cabinet has approved the listing of Export Credit Guarantee Corporation Ltd. through the IPO on the stock exchange."
"The cabinet also approved Rs 4,400 crore investment in ECGC Ltd in 5 years to provide support to exporters as well as banks," the Union minister added further.
The minister stated that the approved amount will be infused in instalments, thereby, increasing the capacity to underwrite risks up to Rs 88,000 crores and this will enable ECGC to issue covers that can support additional exports of Rs 5.28 lakh crore over the five-year period in line with the existing pattern.
Goyal also said that this move will help in creating 59 lakh new jobs including 2.6 lakh in the formal sector and ECGC could be listed on the stock exchanges by the next fiscal year.
ECGC was established by the Government of India under the Companies Act in 1957 to promote exports by providing credit insurance services to exporters against non-payment risks by the overseas buyers due to commercial and political reasons. (ANI)