The 10th edition of FEDAI Rules came in force from 01 April 2019. As per the guidelines FEDAI rule no.2.5, the realization proceeds of foreign currency export bill sent for collection or of goods sent on consignment basis shall be purchased by the Authorised Dealer at TT buying rate or FX contract rate as the case may be. The conversion of foreign currency into Rupees equivalent shall be made only after the foreign currency amount is credited to the Nostro account of the bank.
In agreement with the RBI guidelines and FEMA requirements, the Authorised Dealer shall transfer funds for the credit of exporter within 2 working days from receipt of credit advice/statement of Nostro account. If the bank fails to comply with the stipulated time limit, it shall pay compensation to the customer for the delayed period at the minimum interest rate charged on export credit. Further, the bank shall pay compensation for the adverse movement of the exchange rate as per the compensation policy of the bank.
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