The Reserve Bank of India has issued the Trade Relief Measures Directions, 2025, effective immediately, to support export-oriented borrowers affected by global trade disruptions. The Directions apply to banks, co-operative banks, NBFCs (including HFCs), All-India Financial Institutions and, to a limited extent, Credit Information Companies. Borrowers engaged in specified export sectors, having outstanding export credit and classified as standard as on August 31, 2025, are eligible for relief.
The framework permits regulated entities to grant a moratorium on term-loan instalments and deferment of CC/OD interest falling due between September 1 and December 31, 2025, with interest to accrue only on a simple basis. Accrued interest for the moratorium period may be converted into a FITL repayable between April and September 2026. REs may also revisit working capital limits and margins during the effective period.
Additional measures include permitting extended export credit tenors up to 450 days for pre- and post-shipment credit disbursed until March 31, 2026, and allowing liquidation of packing credit through alternate legitimate sources, including domestic sales. The moratorium and related measures will not be treated as restructuring, and the moratorium period will be excluded for asset classification. REs must create a general provision of at least 5% on eligible standard accounts by December 31, 2025, with adjustments permitted until June 30, 2026. They must also maintain borrower-wise MIS and submit fortnightly reports on DAKSH.
Link – https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12921&Mode=0
