Welcoming the decision to dispense with Bank Guarantee requirement under Bond and replacing it with Legal Undertaking (LUT), Ganesh Kumar Gupta, President, FIEO said that this is much needed simplification which will help in reducing transaction time and cost of exporters. FIEO Chief said that micro and small exporters will be immensely benefitted as they were struggling to get bank guarantee unless furnish collateral to the bank which affects their liquidity and thus flow of working capital impacting production.
