RBI relaxes rules on import of diamonds

Credit for importing diamonds extended to 180 days from 90 days

The Reserve Bank of India on Monday relaxed the rules of suppliers' and buyers' credit for importing rough, cut and polished diamonds to up to 180 days from 90 days with immediate effect.

"It has been decided... that the clean credit i.e. credit given by a foreign supplier to its Indian customer/buyer, without any letter of credit/letter of undertaking/fixed deposits from any Indian financial institution for import of rough, cut and polished diamonds, may be permitted for a period not exceeding 180 days from the date of shipment," the RBI said.