Circular No. DOR.STR.REC.No.455, Dated: 31.03.2026
The Reserve Bank of India (RBI) has issued the ‘Trade Relief Measures Directions, 2026’ in public interest to mitigate debt servicing burdens arising from geopolitical tensions and to ensure the continuity of viable businesses engaged in international trade.
1. Objective of the Directions
The Directions aim to:
- Provide temporary relief to exporters facing external disruptions
- Support liquidity and working capital management
- Ensure smooth functioning of export financing mechanisms
2. Extension of Export Credit Tenor
The RBI has permitted an extension of the export credit tenor up to 450 days for eligible entities.
This extended period provides exporters with additional time to realise export proceeds and manage repayment obligations.
3. Flexibility in Liquidation of Packing Credit
The Directions allow greater flexibility in the liquidation of packing credit, including:
- Adjustment through domestic sale proceeds
- Substitution with other export orders
This helps businesses manage situations where original export orders are delayed, cancelled, or disrupted.
4. Applicability of the Directions
These Directions apply to the following Regulated Entities (REs) engaged in export financing:
- Commercial Banks
- Primary (Urban) Co-operative Banks, State Co-operative Banks, and Central Co-operative Banks
- Non-Banking Financial Companies – Factors (NBFC-Factors)
- All-India Financial Institutions
5. Conclusion
The Trade Relief Measures Directions, 2026, provide targeted regulatory flexibility to support exporters during periods of global uncertainty, ensuring business continuity, liquidity support, and stability in trade finance operations.
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