RBI Draft Directions for Exports Envisage More Powers to ADs

The Reserve Bank of India (RBI) has issued the draft direction on the export and import of goods and services, and the draft Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2025, for comments or feedback from stakeholders before the end of this month.

- T N C RAJAGOPALAN

The RBI has also launched the Platform for Regulatory Application, Validation and Authorisation (PRAVAAH), through which online applications for regulatory authorisations, licenses, and approvals should be submitted.

In a significant departure from the practice of giving detailed guidelines, the draft direction merely provides a list of RBI regulations that authorised dealers (ADs) must follow. It further states that ADs should ensure adherence to the extant Foreign Trade Policy as well as the guidelines issued by the Government of India related to export and import transactions, and merchanting trade transactions (MTT). ADs are also required to send all references to the RBI through the PRAVAAH portal and inform any doubtful transaction to the Directorate of Enforcement.