New Delhi: In a first, the Export-Import Bank of India (Exim Bank) has extended USD 23.37 million defence Line of Credit (LOC) to Guyana. The Caribbean nation is set to acquire Hindustan 228-201 aircraft from Hindustan Aeronautics Limited.
The Line of Credit was signed on March 15, 2024 for the procurement of two aircraft from India for the country’s defence forces. HAL will now enter into a contract for supply of two aircraft with the designated authority in Guyana. These aircraft are for the Guyana Defence Force (GDF). The Indian Navy and the Indian Coast Guard are already operating these aircraft.
The process of the LOC was extended to Guyana following the visit of External Affairs Minister S Jaishankar last year. This agreement shows the Government’s latest effort to improve the GDF’s abilities. It started when President Ali visited India’s Hindustan Aeronautics Limited in January 2023.
The Line of Credit agreement was signed between Senior Minister in the Office of the President with Responsibility for Finance and the Public Service, Dr Ashni K Singh, Government of Cooperative Republic of Guyana; Chief of Staff of the GDF, Brigadier Omar Khan and team; and Sanjay Lamba, Deputy General Manager, Exim Bank; in the presence of High Commissioner of India to Guyana, Dr Amit Telang.
Dr Ashni K Singh from Guyana’s Government thanked India for its support and encouraged more Indian companies to do business in Guyana. He stressed the importance of advanced technology and expressed his government’s dedication to enhancing the country’s security, particularly in the Air Corps and Coast Guard. He mentioned the purchase of two aircraft as a significant investment in strengthening the GDF.
Dr Amit Telang, High Commissioner of India to Guyana, highlighted the importance India attaches to the relationship it shares with Guyana, and the signing of the LOC is just another means of cementing its partnership with Guyana.
Speaking on behalf of the defence sector, Chief of Staff of the GDF, Brigadier Omar Khan, recognised the role that the Government of India has played in defence training over decades in Guyana. Over the years, the Government of Guyana to date, has received eleven (11) LOCs from the Exim Bank.
With the signing of this LOC agreement, Exim Bank has now in place 292 Lines of Credit, covering 62 countries in Africa, Asia, Latin America, CIS and the Oceania, with credit commitments of around USD 2.72 billion, available for financing exports from India.
