AEPC welcomes discontinuation of automatic caution-listing of exporters

The Apparel Export Promotion Council (AEPC) appreciated Reserve Bank of India (RBI) Governor Shaktikanta Das for discontinuing the automatic caution-listing of exporters saying it had become a threat since the outbreak of coronavirus.

The Data Processing and Monitoring System (EDPMS) was introduced by RBUI in 2014 for all banks to bring their transactions with the exporters online.

In 2016, RBI launched the system-based automatic caution-listing wherein exporters were put on the bank’s caution list if any shipping bill against them remained open for more than two years in EDPMS and there was no extension granted by the bank or RBI. Besides, the authorized dealer (AD) banks also recommended names of exporters to be put on caution list.

AEPC appreciated the bank’s intent to enhance liquidity support for financial markets so as to revive activity in targeted sectors of the economy with linkages to other sectors, provide boost to exports, regulatory support to improve the flow of credit to specific sectors within the ambit of the norms for credit discipline, and to deepen financial inclusion.