The Reserve Bank of India on 23rd May 2020 has decided to increase the maximum permissible period of pre-shipment and post-shipment export credit sanctioned by banks from the existing 1 year to 15 months.
Due to the outbreak of Covid-19 pandemic, the exporters have been facing genuine difficulties such as delay/postponement of orders, delay in realization of bills, etc. In this regard, RBI has already permitted the period of realization and repatriation of the export proceeds to India to be increased from nine months to 15 months from the date of export in respect of exports made up to July 31, 2020. In line with this relaxation, it has been decided to increase the maximum permissible period of pre-shipment and post-shipment export credit sanctioned by banks from one year to 15 months, for disbursements made up to July 31, 2020.
Click here to read the Notification.
