Dear All, RBI withdraws limit of USD 20 million for Buyer’s credit RBI decided to withdraw the limit of USD 20 million for Buyer’s credit which may be extended to foreign buyers in connection with export of goods on deferred payment terms and turn key projects from India. In reference to the A. P. (DIR Series) Circular No. 11 dated July 22, 2014 ,AD banks / Exim Bank have been permitted to consider according post-award approvals without any monetary limit and permit subsequent changes in the terms of post award approval within the relevant Foreign Exchange Management Act.(FEMA) guidelines / regulations.  Further, according to the revised Memorandum of instructions on Project and Service exports, Exim Bank in participation with commercial banks in India may extend Buyer’s credit upto the limit of USD 20 million to foreign buyers in connection with export of goods on deferred payment terms and turn key projects from India. With a view to further liberalising the procedure and as the Working Group structure has been dismantled, RBI has been decided to withdraw the limit of USD 20 million for Buyer’s credit which may be extended to foreign buyers in connection with export of goods on deferred payment terms and turn key projects from India. Dr. S P Sharma Chief Economist & Director-Research Skilling India for global competitiveness