Bank of Baroda provides PCFC in foreign currency to the exporters enabling them to fund their procurement, manufacturing/ processing and packing requirements. These loans are available at very competitive international interest rates covering the cost of both domestic as well as import content of the exports. The PCFC can be availed in US$, Euro, GBP and Japanese Yen.
The corporations/ exporters with a good track record can avail of a running account facility with the Bank for PCFC. To qualify for this purpose, the exporters overdue bill should not exceed 5% of the average annual export realisation during the preceding -3- years.
Key Benefits
- In case of cancellation of export order, the PCFC can be closed by selling equivalent amount of foreign exchange at TT selling rate prevalent on the date of liquidation.
- The forward covers can be booked in respect of future PCFC drawings.
- The PCFC drawings are also permitted in cross currency subject to exporter bearing the risk in currency fluctuations.
Terms & Conditions
- The corporations/exporters having firm export orders or confirmed L/C are eligible for PCFC, provided they satisfy other credit norms of the Bank.
- PCFC in foreign currency is available for a maximum period of 180 days from the date of first disbursement, similar to the case of Rupee facility.
- PCFC is to be repaid with the proceeds of the export bill submitted after shipment.
- The PCFC in foreign currency are granted through the Integrated Treasury Branch at Mumbai.
- Multi-currency drawings against the same orders are not permitted due to operational inconvenience.
- Cross-country drawings are restricted to US dollars.
- In case, the export order is in a non-designated currency like Swiss Franc etc. PCFC will be given only in US$. For orders in Euro, Pound Sterling and JPY, PCFC can be availed in the respective currencies or US$ at the choice of exporter.
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