Advance payment against imports
Please refer to paragraph 29(iii), Chapter 13 of the Guidelines for Foreign Exchange Transactions (GFET) Vol-I (2009) wherein Authorized Dealers have been allowed to effect advance payment on behalf of exporters not exceeding USD 5,000.00 or its equivalent from the Exporter’s Retention Quota (ERQ) for bonafide business purposes subject to observance of specific terms and conditions. It has now been decided to enhance this limit of advance payment from ERQ up to USD 10,000.00 or its equivalent.
- Other terms and conditions stipulated in this sub-para will remain unchanged.
- Please bring these instructions to the notice of all concerned. Meanwhile please acknowledge receipt of it.