New Delhi, Apr 1 (KNN) The Reserve Bank of India (RBI) has extended key trade relief measures for exporters in view of continued geopolitical uncertainties and logistical disruptions arising from the West Asia crisis.
The central bank has now allowed an enhanced export credit period of up to 450 days for both pre-shipment and post-shipment credit for all disbursals made till June 30, 2026, providing additional liquidity support to exporters.
Extension of Export Timelines
As part of its earlier relief package, RBI had already eased norms under FEMA regulations by extending the timeline for realisation and repatriation of export proceeds from 9 months to 15 months and increasing the permitted shipment period from 1 year to 3 years from the date of receiving advance payment.
These relaxations will continue to remain in force, offering exporters greater flexibility amid ongoing supply chain disruptions.
Support for Export Credit and Working Capital
Under the newly issued Reserve Bank of India (Trade Relief Measures) Directions, 2026, the regulator has taken additional steps to ease financial stress by enhancing export credit tenure of up to 450 days extended till June 2026 and provided permission to liquidate packing credit from alternative sources, including domestic sales or proceeds from substitute export orders.
Earlier measures also included moratorium or deferment of term loan repayments and interest on working capital loans between September and December 2025 and flexibility for lenders to reassess working capital limits by adjusting margins or drawing power.
Objective: Business Continuity
The RBI said the measures aim to mitigate the burden of debt servicing and ensure continuity of viable export businesses impacted by global headwinds.
The directions apply to a wide range of regulated entities, including commercial banks, cooperative banks, non-banking financial companies (NBFCs), and all-India financial institutions engaged in export financing.
The central bank stated it will continue to closely monitor the evolving situation and take further measures as required to support exporters and maintain stability in the external sector.
(KNN Bureau)
