EXPORT DEVT FUND II

closed

The Second Export Development Fund Project will support the Government's program to expand nontraditional manufactures and banana exports by: (i) assuring a continued availability of foreign exchange to meet current import requirements of exporters; (ii) allowing a better utilization of the presently installed manufacturing capacity; (iii) complementing the export policies which the Government intends to put in place; and (iv) strengthening the institutional framework that provides support to exporters. Up to $26.0 million of the loan funds will be used to increase the resources available to EDF for short-term financing or cash sale of foreign exchange for imports required by exporters, of which $22.0 million will be used for the importation of raw materials, intermediate goods, packaging materials and spare parts by producers of manufactured goods for export and local suppliers to exporters, and $4.0 million for the importation of current inputs by the Banana Company of Jamaica Ltd. At least $10.0 million of loan funds will be made available to the EDF to provide medium-term financing to exporters and their suppliers for the importation of capital equipment required to utilize installed production capacity and for limited inventories of imported inputs. One million of loan funds will be used.