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of <h1>India Extends $25M Credit to Sri Lanka for Imports; Contracts Need Approval by Feb 28, 2005, Draw Funds by 2006.</h1> The circular outlines the terms of a USD 25 million credit tranche extended by the Government of India to the Government of Sri Lanka under a credit agreement dated March 23, 2004. This credit is part of a USD 100 million line of credit intended for Sri Lanka to import Indian-manufactured capital goods, consumer durables, food items, and consultancy services. Contracts under this credit require approval from both governments and must be finalized by February 28, 2005, with funds drawn by February 28, 2006. The credit will cover 100% of the f.o.b. value, and transactions must comply with the Foreign Exchange Management Act, 1999.
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