HomeCirculars › RBI/2009-10/204

Rupee Export Credit Interest Rates Extended Till April 2010

No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2009-10/204 · issued 29 Oct 2009 · ~2 min read
Quick answerRBI extends validity of rupee export credit interest rate ceilings through April 30, 2010. Rates remain at BPLR minus 2.5 percentage points for pre-shipment and post-shipment credit up to specified tenors. Banks can charge below these ceilings.

What changed

The previous circular's interest rate validity on rupee export credit, which was set to expire, has been extended to April 30, 2010. The applicable rates are now specified in an annexure to a new directive effective November 1, 2009.

What it means for you

Banks must continue to apply the ceiling rate of BPLR minus 2.5 percentage points for specified export credit categories until end-April 2010. This provides stability for exporters and banks in pricing short-term export finance. Beyond the prescribed tenors, banks have full freedom to set rates based on BPLR and spread guidelines.

Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.

What banks were required to do at the time

Who it affects

All scheduled commercial banks (excluding RRBs) offering rupee export credit, Exporters availing pre-shipment and post-shipment credit, Bank treasury and credit policy teams

❓ Common questions

Regulatory timeline

Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).

What is the ceiling interest rate for rupee export credit under this circular?

The ceiling rate is BPLR minus 2.5 percentage points per annum for categories like pre-shipment credit up to 270 days and post-shipment credit up to 180 days (or 365 days under Gold Card Scheme).

Can banks charge interest rates below the ceiling?

Yes, the circular states that since these are ceiling rates, banks are free to charge any rate below the ceiling.

Does this circular affect export credit beyond the specified tenors?

No, for tenors beyond those listed (e.g., pre-shipment over 270 days), interest rates are deregulated and banks can decide rates based on BPLR and spread guidelines.

📜 This document’s life story (1 recorded event, each backed by RBI’s own words)
Repealed by RBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #1794: DBOD.Dir.(Exp).BC.No.53/04.02.001/2009-10 — "Interest Rates on Advances" dated October 29, 2009”
📜 Read the original circular — full text as issued by RBI
RBI/2009-10/204 DBOD.Dir.(Exp).BC.No. 54/04.02.001/2009-10 October 29, 2009 All Scheduled Commercial Banks (excluding RRBs) Dear Sir, Rupee Export Credit Interest Rates Please refer to our circular DBOD.Dir.(Exp).BC.No.131/04.02.01/2008- 09 dated April 29, 2009 on the captioned subject. 2. The validity of the interest rates on rupee export credit indicated in the above circular would now remain in force up to April 30, 2010. In this connection, you may please refer to RBI circular No.MPD.BC.326/07.01.279/2009-10 dated October 28, 2009. The rates of interest applicable have been incorporated in the Annexure to the Directive DBOD.Dir.(Exp).BC.No.53/04.02.01/2009-10 dated October 29, 2009 enclosed to this circular. Yours faithfully, (P.Vijaya Bhaskar) Chief General Manager-in-Charge Encl: as above DBOD.Dir.(Exp).BC.No.53 /04.02.001/2009-10 October 29, 2009 Interest Rates on Advances In exercise of the powers conferred by Sections 21 and 35 A of the Banking Regulation Act, 1949, the Reserve Bank of India, being satisfied that it is necessary and expedient in the public interest so to do, hereby directs that, with effect from November 01, 2009 the interest rates on rupee export credit would be as indicated in the Annex enclosed to this Directive. (Anand Sinha) Executive Director Encl: as above ANNEX   Interest Rates on Rupee Export Credit of Scheduled Commercial Banks Interest Rates effective from November 1, 2009 to April 30, 2010 will be not exceeding BPLR minus 2.5 percentage points per annum for the following categories of Export Credit.
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2009-10/204 · issued 29 Oct 2009. The plain-English explanation above is BankPulse’s own independent summary.
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Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=5340&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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