RBI proposes to simplify payment settlement process for trade via e-commerce

Reserve Bank of India on Thursday proposed to modify the existing norms to simplify and rationalise the process for settlement of payment for exports and imports through e-commerce.

RBI has issued draft guidelines on ‘Processing and Settlement of small value Export and Import related payments’ facilitated by Online Export-Import Facilitators (OEIF) (erstwhile OPGSP).

“With the development in the ecosystem for e-commerce and the feedback received from banks and other stakeholders, on a comprehensive review, the extant guidelines are being modified to further simplify and rationalise the process for settlement of payment for export and import through e-commerce,” it said.

On import transactions, the central bank has proposed that the facility shall be available for online import of goods and digital products of value not exceeding $3,000.

In case of exports, the limit has been proposed at USD 15,000.

Currently, banks are permitted to offer the facility of processing and settlement of import and export-related remittances by entering into standing contracts with Online Payment Gateway Service Providers (OPGSPs) in respect of the export of goods and services as well as the import of goods and software.