The Directorate General of Foreign Trade (DGFT) may soon notify norms for permitting exporters to avail incentives under the foreign trade policy, even on realization in rupee. Reportedly, the DGFT, under the commerce ministry, has already allowed invoicing, payment and settlement of exports and imports in Indian rupee, a move aimed at facilitating trade in the domestic currency.
In July this year, the Reserve Bank of India (RBI) asked banks to put in place additional arrangements for export and import transactions in Indian rupees in view of the increasing interest of the global trading community in the domestic currency.
“To permit exporters avail incentives under the foreign trade policy, norms will have to be notified for that,” the official said.
The DGFT has stated that settlement of trade transactions in INR may also take place through special rupee vostro accounts opened by authorized dealer banks in India.
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