Understanding the Export Data Processing and Monitoring System (EDPMS)
The Export Data Processing and Monitoring System (EDPMS) is an online platform developed by the Reserve Bank of India (RBI) in 2014 to streamline, track, and monitor export transactions in India. It serves as a centralized system, integrating information from banks and customs authorities to ensure effective oversight of export shipments and the corresponding inward…
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Updated guidelines on raising loans through External Commercial Borrowing (ECB)
The revised guidelines on External Commercial Borrowing are as per the updated circular of RBI as of December 22, 2023. In simple terms, External Commercial Borrowings (ECB) means commercial borrowings availed (in the form of bank loans, trade credits, and securitized instruments) from external sources (from abroad) with a minimum average maturity of three years.…
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Security for External Commercial Borrowings (ECB)
The extant ECB guidelines allow the local borrower to offer security to the overseas lender / supplier for securing ECB. According to the latest directions of RBI, AD Category-I banks may allow creation of charge on immovable assets, movable assets, financial securities and issue of corporate and / or personal guarantees in favour of overseas…
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Export Finance: A Strategic Enabler of International Trade
Export finance plays a pivotal role in facilitating international trade by providing exporters with the necessary financial resources to manage the production, shipment, and delivery of goods and services to overseas markets. It helps bridge the time lag between incurring export-related costs and receiving payment from foreign buyers, thereby supporting liquidity and sustaining trade momentum.…
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What is the Gold Card Scheme for exporters?
On June 27, 2019, Reserve Bank of India notified all the banks (SCBs, SBs, LABs), excluding RRBs that the RBI is receiving complaints from exporters and their Associations that the banks are not extending the benefits under the Gold Card Scheme as per extant instructions. The Central bank therefore reiterated that the instructions relating to…
Regulatory Framework Governing Exporters in India: FEMA and Foreign Trade Policy Guidelines
Exporters in India operate within a regulatory ecosystem shaped primarily by the Foreign Exchange Management Act (FEMA), 1999, and the Foreign Trade Policy (FTP) of the Directorate General of Foreign Trade (DGFT). These regulations govern critical aspects of export operations, including currency invoicing, realization of export proceeds, documentation, licensing, and procedural compliance. Exporters are also…
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