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RBI Issues New Rules for Exporters of Services, Check Here!!

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The Reserve Bank of India (RBI) has issued the Foreign Exchange Management (Export and Import of Goods and Services) (Second Amendment) Regulations, 2026. The amendments introduce changes to the reporting requirements for exporters of services and the process for recording import of services in the Import Data Processing and Monitoring System (IDPMS).

The new regulations have been issued under the Foreign Exchange Management Act (FEMA), 1999. They amend the Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026, which were notified through RBI Notification No. FEMA 23(R)/2026-RB dated January 13, 2026. The amendments will come into force from October 1, 2026.

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1. Definition of Resident Individual Introduced

The RBI has introduced a new definition of “resident individual” under Regulation 2 of the principal regulations. A resident individual means a person who is resident in India and is a natural person. This definition has been added to clarify the reporting requirements applicable to individual exporters of services.

2. Changes in EDF Submission Requirements for Exporters of Services

The RBI has introduced changes to the process through which exporters of services are considered to have submitted the Export Declaration Form (EDF). Under the new provisions, the requirements will differ depending on whether the exporter is a resident individual or another type of person.

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For Resident Individuals

A resident individual exporting services will be deemed to have submitted the EDF when they provide the required information to their Authorised Dealer (AD) bank regarding the receipt of payment for the services. The information must be provided for crediting the payment to the exporter’s account. This means that resident individuals will not need to submit the EDF separately if they provide the required payment-related information to their AD bank.

For Other Exporters

For exporters other than resident individuals, the same facility will be available where the value of the inward remittance for the service does not exceed ₹10 lakh or its equivalent in foreign currency. Such exporters will be deemed to have submitted the EDF when they provide the required information about the receipt of payment to their AD bank for crediting their account. The ₹10 lakh limit applies to exporters who are not resident individuals.

3. Changes in IDPMS Reporting for Import of Services

The RBI has also amended the reporting requirements for the import of services under Regulation 18. Earlier, Authorised Dealers were required to enter details of the import of services in IDPMS, as declared and submitted by the importer, within five working days of receiving the documents.

Under the amended provision, Authorised Dealers will be required to enter details of import of services in IDPMS within five working days of receiving the information only in the following cases:

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  • The importer is a person other than a resident individual.
  • The invoice value or contract value exceeds ₹10 lakh or its equivalent in foreign currency.

The details must be entered based on the information furnished by the importer.

Key Changes at a Glance

ParticularsNew Provision
Resident individualA natural person who is resident in India
EDF for resident individualsDeemed submitted when required payment information is provided to the AD bank
EDF for other exportersDeemed submitted when required information is provided to the AD bank, if inward remittance does not exceed ₹10 lakh
Import of services reportingIDPMS reporting applies to non-resident-individual importers where invoice or contract value exceeds ₹10 lakh
Reporting timelineWithin five working days of receiving the required details
Effective dateOctober 1, 2026

Effective Date

The Foreign Exchange Management (Export and Import of Goods and Services) (Second Amendment) Regulations, 2026 will come into force from October 1, 2026. The amendments provide simplified reporting requirements for resident individuals exporting or importing services and introduce a ₹10 lakh threshold for certain reporting requirements applicable to other persons.

Click here to download RBI Circular

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Hellobanker Team

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