The Reserve bank of India on 21 July 2013 brought down the period of realisation and repatriation for exporters of goods and software to nine months from earlier 12 months.
The move to reduce the period of realization was directed towards increasing foreign exchange inflows. Earlier in November 2012 considering the global slowdown; RBI had increased the time limit so that they can bring in export earnings to 12 months, from six months at that time.
But as per the industry experts, RBI brought down the realization period because of the deteriorating current account deficit of the country and the weakening of the rupee against the dollar.
The Reduction of realisation period was taken after consulting with the Government of India to bring down the realisation period from 12 months to nine months from the date of export valid till 30 September 2013.India's exports contracted by 4.6 per cent, for the second consecutive month, to 23.79 billion dollars in June 2013 compared to that in the year-ago period.
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