Under the Direct E-Commerce Credit Facility introduced

Solution

The Direct E-Commerce Credit Facility provides a credit guarantee coverage of 90 percent for the working capital loans extended to exporters. This high level of guarantee coverage reduces the lending risk for financial institutions and encourages banks to provide credit to exporters. The guarantee mechanism ensures that a significant portion of the loan is protected in case of default. The scheme is intended to enhance exporter liquidity, facilitate entry into global e-commerce markets, and support exporters dealing with international trade risks and financing challenges.