Business

RBI Draft New Regulations To Ease Foreign Trade Transactions

The Reserve Bank of India (RBI) unveiled new draft regulations on Tuesday aimed at simplifying foreign trade transactions, particularly benefitting small exporters and importers.

The move is part of RBI’s ongoing efforts to enhance the ease of doing business and streamline processes in the foreign exchange domain.

Under the proposed regulations, Authorised Dealer banks will empowered to deliver faster and more efficient services to their foreign exchange customers.

These measures aim to rationalise and liberalise policies that govern export and import transactions, aligning with the provisions of the Foreign Exchange Management Act (FEMA), 1999.

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In a statement, the RBI highlighted that the draft regulations and directions are now available on its official website for public review and feedback.

Stakeholders, including businesses and industry experts, are to submit their comments via email by 1 September 2024.

All submissions should use the subject line ‘Feedback on draft regulations and directions on export and import under FEMA’.

This initiative underscores RBI’s commitment to fostering a conducive environment for foreign trade and investment, promoting transparency, and addressing the evolving needs of the economy.

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Mankrit Kaur

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