Question

A bank has PSL target of ₹1,000 crore. Export credit under PSL already stands at ₹340 crore. The bank is considering further export loan under PSL. What is the correct regulatory position?

A Can lend without limit
B Export credit capped at 40%
C Export credit capped at 32%
D Export credit capped at 25%
E No cap for foreign trade
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