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Trade Credit Policy - Rupee (INR) Denominated trade credit

FEMA - 13 - Dated:- 10-9-2015 - RBI/2015-16/175 A.P. (DIR Series) Circular No.13 September 10, 2015 To, All Authorised Dealer Category - I Banks Madam/ Sir Attention of Authorized Dealer Category - I (AD Category - I) banks is invited to Schedule III .....

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ers' credit / suppliers' credit) from overseas supplier, bank and financial institution for import of capital and non-capital goods into India. 2. With a view to providing greater flexibility for structuring of trade credit arrangements, it h .....

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sible under the extant Foreign Trade Policy ii. Trade credit period for import of non-capital goods can be upto one year from the date of shipment or upto the operating cycle whichever is lower iii. Trade credit period for import of capital goods can .....

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. AD Category - I banks are permitted to give guarantee, Letter of Undertaking or Letter of Comfort in respect of trade credit for a maximum period of three years from the date of shipment vii. The all-in-cost of such Rupee (INR) denominated trade cr .....

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