Toronto: Export Development Canada (EDC) has announced providing $20 million (Rs88-crore) toward a $200 million syndicated loan being raised by India’s leading engineering and construction company, Larsen and Toubro.
EDC’s participation is aimed at encouraging the use of Canadian products or services in Indian infrastructure projects managed by the company.
“In 2007, we have already completed two new financing transactions to help grow existing Canadian contracts or create new Canadian business opportunities in India,” said Eric Siegel, president and CEO of EDC, who visited India earlier this week.
EDC has also signed a $50 million line of credit (LOC) with India’s largest private lender ICICI Bank.
“EDC opened its first representation in New Delhi in 2005. Since then, EDC-facilitated trade and investment with India grew from CAD 375 million in 2005 to a record breaking CAD 730 million in 2006,” Siegel said.
EDC has helped more than 150 Canadian companies increase their trade with India in 2006.
Close to 45% of EDC’s business volume in India last year consisted of financing, through loan syndications for major Indian buyers, to promote the purchase of Canadian goods and services.
EDC is Canada’s export credit agency, offering innovative commercial solutions to help Canadian exporters and investors expand their international business.