RBI GIVES RELIEF TO EXPORTERS UNDER TRADE RELIEF MEASURES DIRECTIONS 2025

Exporters have been under pressure as global markets slow, supply chains stay unpredictable, and tighter tariffs change trade patterns. To help them stay afloat, the Reserve Bank of India introduced the Trade Relief Measures Directions 2025. These measures aim to ease cash flow stress, protect credit profiles, and give exporters more time to manage shipments and payments. While the relief is temporary, it gives breathing room at a time when many exporters are dealing with delays and uncertainty.

The first major benefit is the moratorium on loan repayments. Any term loan instalment or interest on working capital that falls due between 1 September and 31 December 2025 can be deferred. For exporters who rely on steady foreign receipts, this matters. When payments from buyers slow down, a missed instalment can quickly snowball into a larger financial problem. The moratorium lets exporters stay focused on running their business without worrying that a late receipt will damage their credit standing.

Exporters also get an extended credit window on export finance. Pre shipment and post shipment credit can now be available for up to 450 days for eligible facilities. Longer credit periods mean less pressure to repay quickly, more room to negotiate with buyers, and better alignment between bank timelines and real export cycles. Many exporters ship goods months before receiving full payment, so this extension gives banks and businesses more flexibility.

Another important change is the extended timeline for realising export proceeds. Under the new directions, exporters now have up to 15 months to bring in foreign earnings. This is a significant jump from earlier requirements. With global shipping delays, inflation in freight costs, and currency risks, many exporters were struggling to meet the earlier timelines. The new window lets them manage receipts without the fear of violating foreign exchange rules. The shipment period permitted against advance payment now goes up to three years, which supports long cycle manufacturing sectors.

One of the most reassuring parts of the new rules is the protection of borrowers’ credit history. The moratorium period will not be treated as a loan restructuring. That means banks cannot downgrade an exporter’s credit profile solely because they chose the relief. Days past due calculations will exclude the deferred period. For businesses that rely heavily on short term borrowing, keeping a clean credit record is crucial.

The list of sectors eligible for relief covers many of India’s key export categories, including chemicals, plastics, textiles, leather, metals, machinery, and electronics. This makes the scheme relevant for a large portion of export driven businesses.

Conclusion

The Trade Relief Measures Directions 2025 give exporters a timely cushion. They offer more time, better credit flexibility, and protection for long term financial health. While the relief does not remove the pressures of global trade, it gives exporters room to adjust, plan, and stay competitive. In a year marked by volatility, this support helps stabilize India’s export ecosystem when it needs it most.