Rupee Export Credit Interest Rate Ceiling Extended to June 30, 2010
No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2009-10/453 · issued 06 May 2010 · ~2 min read
Quick answerRBI extends the interest rate ceiling on specified categories of pre-shipment and post-shipment rupee export credit at BPLR minus 2.5 percentage points until June 30, 2010. From July 1, 2010, the Base Rate system will apply, with all rupee export credit advances at or above Base Rate.
What changed
The validity of the interest rate ceiling on specified categories of pre-shipment and post-shipment rupee export credit, set at BPLR minus 2.5 percentage points, has been extended to June 30, 2010. Starting July 1, 2010, the Base Rate system will replace BPLR for all rupee export credit advances, meaning rates must be at or above the Base Rate.
What it means for you
Banks can continue offering export credit at rates capped at BPLR minus 2.5 percentage points for the specified categories until end-June 2010, providing stability for exporters. From July 1, 2010, the shift to Base Rate will require banks to set export credit rates at or above the Base Rate, potentially increasing borrowing costs for exporters if Base Rate is higher than the previous effective rate.
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
Continue applying the BPLR minus 2.5 percentage points ceiling on specified categories of pre-shipment and post-shipment rupee export credit until June 30, 2010.
Prepare for the transition to the Base Rate system from July 1, 2010, ensuring all rupee export credit advances are priced at or above the Base Rate.
Update internal systems and loan documentation to reflect the new Base Rate pricing for export credit from July 1, 2010.
Who it affects
All Scheduled Commercial Banks (excluding RRBs), Exporters availing rupee export credit, Bank treasury and credit policy teams
repealed_by — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
Status change: withdrawn03 Aug 2026, 04:00 IST
Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).
What is the interest rate ceiling for rupee export credit until June 30, 2010?
For specified categories including pre-shipment credit up to 270 days and post-shipment credit up to 180 days, the rate cannot exceed BPLR minus 2.5 percentage points. Banks can charge any rate below this ceiling.
What happens after June 30, 2010?
From July 1, 2010, the Base Rate system becomes effective. All rupee export credit advances, regardless of tenor, must be priced at or above the Base Rate.
Are there any categories of export credit not covered by the ceiling?
Yes, export credit beyond the specified tenors (e.g., pre-shipment over 270 days, post-shipment over 180 days) is deregulated, and banks can set rates freely, subject to BPLR and spread guidelines.
📜 This document’s life story (2 recorded events, each backed by RBI’s own words)
RBI’s words: “the interest rates applicable for all tenors of rupee export credit advances with effect from July 1, 2010 will be at or above Base Rate”
Repealed byRBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #1708: DBOD.Dir.(Exp).BC.No.101/04.02.001/2009-10 — "Interest Rates on Advances" dated May 6, 2010”
📜 Read the original circular — full text as issued by RBI
RBI/2009-10/453
DBOD.Dir.(Exp).BC.No. 102 /04.02.001/2009-10
May 6, 2010
All Scheduled Commercial Banks
(excluding RRBs)
Dear Sir/Madam,
Rupee Export Credit Interest Rates
Please refer to our circular DBOD.Dir.(Exp).BC.No. 54/ 04.02.01/2009-10 dated October 29, 2009 on the captioned subject.
2. The validity of the prescribed interest rate ceiling on pre-shipment rupee export credit upto 270 days and post-shipment rupee export credit upto 180 days stipulated at BPLR minus 2.5 percentage points as stated in our above mentioned circular DBOD.Dir.(Exp).BC.No.54/04.02.001/2009-10 dated October 29, 2009 would now remain in force upto June 30, 2010. In this connection, you may please refer to RBI circular No.MPD.BC.330/07.01.279/2009-10 dated April 23, 2010. The rates of interest applicable have been incorporated in the Annexure to the Directive DBOD.Dir(Exp).BC.No. 101/04.02.01/2009-10 dated May 6, 2010 enclosed to this circular.
3. The Base Rate System will be applicable with effect from July 1, 2010. Accordingly, interest rates applicable for all tenors of rupee export credit advances will be at or above Base Rate.
Yours faithfully,
(A.K.Khound)
Chief General Manager
Encl: as above
DBOD.Dir.(Exp).BC.No. 101 /04.02.001/2009-10
May 6, 2010
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 May 01, 2010 to June 30, 2010, the interest rates on rupee export credit would be as indicated in the Annex enclosed to this Directive.
2. Interest rates applicable for all tenors of rupee export credit advances with effect from July 1, 2010 will be at or above Base Rate.
(Anand Sinha)
Executive Director
ANNEX
Interest Rates on Rupee Export Credit of
Scheduled Commercial Banks
Interest Rates effective from May 01, 2010 to June 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/2009-10/453 · issued 06 May 2010. The plain-English explanation above is BankPulse’s own independent summary.
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BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=5661&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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