The ECR was designed specifically to meet the needs of exporters. It provides short-term credit at preferential rate of interest. This is to enable Malaysian exporters to price thier export product competitively in the International market place. Two ECR schemes are operated by Commercial bank. Bank Negara refinances these Banks.
Indirect exporters refers to domestic suppliers of inputs to final exporters.
The maximum period of finance for pre-shipment is 4 months. The maximum period of finance for post-shipment is 6 months. Crude, rubber, vegetable oil products, agricultural food products and textile products are exempted from these requirements. The RM300 million Fund For food was set up on 30 October 1992 to promote investment in new productive capacity in Food production. The scheme provides finance at reasonable cost.