NIRVIK scheme

The NIRVIK Scheme was announced by the Government of India in the Union Budget 2020-21 with the objective of promoting and enhancing exports from India. It is implemented by the Export Credit Guarantee Corporation of India under the Ministry of Commerce & Industry. Its purpose is to facilitate easier and more affordable export credit for Indian exporters by providing improved insurance coverage for export credit and thereby enabling banks to lend more readily. Your enterprise can benefit from this scheme if you are into exporting goods or services, it can reduce risk, improve access to export finance and enhance your export competitiveness.

Key Features
Financial Assistance
Eligibility Criteria
Documents Required
Application Process for the Scheme

Key Features

High insurance coverage up to 90% on principal and interest: The scheme provides export credit insurance cover of up to 90 % of both the principal amount and interest on pre-shipment or post-shipment export credit.
Reduced premium rate for eligible exporters: Premium rates for exporters under limits (e.g., account limits up to ₹ 80 crore) are moderated (for example around 0.60% per annum) making the insurance cost lower.
Lower interest rate on export credit: The scheme envisages export credit interest rate caps: foreign-currency export credit below ~4% and rupee export credit below ~8% for eligible cases.
Both pre-shipment and post-shipment export credit covered: The scheme covers working capital/credit requirements both before shipment (for procurement, packing, etc) and after shipment (for export bills, receipts) under the export cycle.
Focus on enhancing credit access for MSMEs and exporters new or existing: It aims to broaden export finance to smaller exporters, reduce risk for banks, simplify procedures and thus increase export volumes from smaller units.
Simplified procedures and strengthened risk-mitigation: The scheme promises streamlined claim settlement, stronger insurance cover for banks and exporters, thereby reducing the risk perception of export credit.

Financial Assistance

Component	Assistance Provided	Detailed Explanation & Example
Insurance Cover Percentage	Up to 90% of principal + interest	If your export credit (principal) is ₹1 crore and interest charge is ₹5 lakhs, under the policy you may have cover of up to ~₹1.05 crore (subject to scheme conditions).
Premium Rate	Reduced premium e.g., ~0.60% p.a for accounts ≤ ₹80 crore	If your export credit limit is ₹50 crore, you may pay premium around 0.60% per annum, versus higher rates earlier.
Interest Rate Caps	Foreign-currency export credit ~4%; rupee export credit ~8%	If you borrow ₹2 crore in rupee export credit, interest may be capped around 8% if other conditions of scheme are met.
Coverage for pre- and post-shipment credit	Exporters’ working capital or export bill financing both covered	For example, you could access finance for raw-material purchase before shipment and also for negotiation of export bills after shipment, both with the scheme backing.
Risk mitigation for banks	Insurance cover enhances bank comfort, boosting export credit flow	Because a high share of loss is insured, banks are more willing to lend to exporters; thus your enterprise may get improved access to export finance.

Eligibility Criteria

Who can apply:

Exporters registered with valid IEC (Import Export Code) and meeting export norms.
Export credit (pre-shipment or post-shipment) availed against eligible export contracts.
Both MSME exporters and larger exporters can benefit; smaller credit limits receive favourable premium rates.

Who cannot apply:

Cases where procurement/export contract or borrower is not credit-worthy may not be covered.
Specific sectors (like gems, jewellery & diamonds above certain limit) may have higher premium or additional risk conditions under the scheme.

Documents Required

Exporter’s IEC certificate, GST registration, business registration.
Export order/contract, invoice, shipping bill, export documentation.
Bank sanction letter for export credit (pre or post-shipment).
Financial statements/balance sheet of exporter (if required by bank/ECGC).
Insurance application form through ECGC under NIRVIK scheme.
Other documents as required by bank/ECGC for underwriting export credit risk and insurance cover.

Application Process for the Scheme

Option 1: Apply with Bullit (Recommended)

Click here to start with guided support. Our team verifies eligibility, compiles documents, and handles application & follow-ups on your behalf. You can monitor progress while focusing on operations.

Recommended for: MSME exporters who prefer assisted application and want to ensure smoother credit & insurance coverage access.

Option 2: Official Route

Exporter obtains export credit from a bank/financial institution (pre-shipment or post-shipment) under ECGC cover.
Bank/financial institution submits application to ECGC for credit-insurance cover under NIRVIK, with required documentation (export order, IEC, bank sanction etc.).
ECGC evaluates, approves cover (up to 90%), sets premium rate, issues insurance cover certificate.
Exporter uses credit facility; bank monitors as per ECGC guidelines. In event of default/loss, claim settlement process applies.

Option 3: Through Export Promotion Council / State-Export Office
Exporters may also coordinate via their relevant Export Promotion Council, state export facilitation cell or trade finance desk of the bank to avail benefits under NIRVIK. These intermediaries may help documentation, credit linkage and insurance cover