The objective of granting export finance is to enable exporters to avail short-term working capital against confirmed orders, letters of credit, export receivables (goods already shipped),etc. Exporters may avail finance at two stages - pre-shipment and post-shipment.

1. Pre-shipment Finance– Pre-shipment (also known as Packing Credit) is an advance given to the exporters to fund the procurement of raw materials, manufacturing / processing / packaging of finished goods prior to shipment. Such loans may be given as working capital assistance to meet expenses such as wages, utility payments, travel expenses etc. to companies engaged in export of goods or services. Packing credit is sanctioned / granted on the basis of letter of credit or a confirmed and irrevocable order for the export of goods / services from India or any other evidence of an order for export from India. MBI offers pre-shipment finance to eligible exporters in both Indian Rupee and foreign currency.

2. Post shipment Finance- 'Post-shipment Credit' means any loan or advance granted or any other credit provided by a bank to an exporter of goods / services from India from the date of extending credit after shipment of goods / rendering of services to the date of realisation of export proceeds as per the period of realization prescribed by Reserve Bank of India (RBI) and includes any loan or advance granted to an exporter, in consideration of, or on the security of any duty drawback allowed by the Government from time to time. MBI offers post shipment finance in both Indian Rupee and foreign currency.