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RBI to issue SOP for banks to expedite rupee trade

July 18, 2023

RBI to issue SOP for banks to expedite rupee trade
To tide over the hiccups faced by exporters in the rupee-based trading mechanism for foreign trade, the Reserve Bank of India (RBI) is expected to issue a standard operating procedure for banks to issue proofs of inward remittances for exporters expeditiously, a top government official said.
 
“There were some initial teething problems with the rupee-trading mechanism, but transactions have started happening in many areas, although we are not sure of the figures at this point,” the senior Commerce Ministry official said.
 
On reports of some Indian oil firms paying Russia in Chinese Yuan to meet their import bills, the official explained that there is no bar on traders using any currency to make international payments even as the government is keen on promoting rupee-based trade with more countries.
 
“There were some exporters who had approached us that the FIRC (Foreign Inward Remittance Certificate) from one bank was not being sent to the other, because of which e-BRCs were not getting generated,” he said.
 
Electronic bank realisation certificates or e-BRCs are issued by banks to exporters as proof of payment that validates their exports and makes them eligible for any benefits under the Foreign Trade Policy.
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