RBI withdraws relaxation on export earnings repatriation

RBI withdraws relaxation on export earnings repatriation

The Reserve Bank of India has reversed a previous decision allowing exporters 15 months to repatriate earnings. The new deadline set is 9 months for bringing back export proceeds into the country. This change aims to increase dollar liquidity and support the Indian rupee in the foreign-exchange market. Additionally, the RBI has provided banks with expanded powers concerning trade transactions before the new rules take effect.

RBI seeks faster export earnings repatriation, delegates more powers to Banks

The changes are expected to accelerate repatriation of export earnings and improve foreign exchange inflows, while reducing regulatory bottlenecks by shifting more approval powers to authorised dealer banks