Draft SOP for reporting inward remittances routed through NBFC Factors, for eBRC self-certification: DGFT Trade Notice 20/2026-27 invites comments
DGFT has circulated a draft Standard Operating Procedure on how Inward Remittance Messages (IRMs) are to be reported when export proceeds come through NBFC Factors. Factors would tag their SWIFT messages so that AD-I banks do not create IRMs for factoring proceeds; exporters would see factor-linked IRMs on the DGFT portal to self-certify eBRCs. Comments are invited within 30 days.
Key facts
- In force
- Draft only; comments within 30 days of publication of the Trade Notice dated 12 August 2026
- Who it affects
- Exporters using export factoring, NBFC Factors, AD Category I banks, Export Promotion Councils
- What it is
- Comments invited
- Section
- Foreign Trade
- Published
- 12 August 2026
In 30 seconds
- Trade Notice No. 20/2026-27 is dated 12 August 2026; the draft SOP is at Annexure-I.
- NBFC Factors to use the text “AD-AD(P0092) EXP FACTORING PROCEED” in all SWIFT messages when remitting factoring proceeds in foreign currency to AD-I banks.
- AD-I banks are not to create IRMs against foreign currency funds received from Factors.
- Where a Factor discounts export bills and releases INR, the AD-I bank should advise the customer to approach the Factor for the IRM.
- Exporters would view these IRMs on the DGFT portal and self-certify eBRCs by matching them with invoice or Shipping Bill records.
- Comments by e-mail to ebrc-dgft@gov.in within 30 days from the date of publication of the Trade Notice.
हिंदी में सार
DGFT ने Trade Notice 20/2026-27 (12 अगस्त 2026) से NBFC Factors के ज़रिये आने वाले निर्यात भुगतान के Inward Remittance Message (IRM) की रिपोर्टिंग के लिए SOP का मसौदा जारी किया है। प्रस्ताव के अनुसार Factor अपने SWIFT संदेश में “AD-AD(P0092) EXP FACTORING PROCEED” लिखेगा ताकि AD-I बैंक उस राशि पर अलग IRM न बनाए, और निर्यातक DGFT पोर्टल पर IRM देखकर eBRC स्वयं प्रमाणित कर सकेगा। सुझाव प्रकाशन के 30 दिन के भीतर ebrc-dgft@gov.in पर भेजे जा सकते हैं।
What DGFT has circulated
By Trade Notice No. 20/2026-27 dated 12 August 2026, DGFT has invited comments on a draft Standard Operating Procedure (SOP) for reporting of Inward Remittance Messages (IRMs) pertaining to NBFC Factors. The stated purpose is to streamline the reporting of IRMs for export transactions involving NBFC Factors and to facilitate self-generation of Electronic Bank Realisation Certificates (eBRCs). The draft is placed at Annexure-I as a draft Trade Notice. It is not yet in force.
Background given in the draft
The draft refers to Trade Notice No. 33/2023-24 dated 10 November 2023 and Trade Notice No. 12/2024-25 dated 14 August 2024, by which DGFT introduced and then enhanced the online self-certification mechanism for eBRCs. The SOP is meant to deal with inward remittances received through authorised NBFC Factors into the exporter’s account.
The proposed procedure
| Situation | What the draft SOP provides |
|---|---|
| Factor remits factoring proceeds in foreign currency to an AD-I bank | The NBFC Factor will use the text “AD-AD(P0092) EXP FACTORING PROCEED” in all its SWIFT messages. This is to ensure that AD-I banks do not create IRMs against foreign currency funds received from the Factors |
| Factor discounts export bills and releases money in INR to an AD-I bank | The AD-I bank will not receive any SWIFT message. If a customer approaches the AD-I bank to create IRMs against such INR funds, the bank should advise the customer to approach the Factor only |
| AD-III entities (factoring agencies) remitting funds to AD-I banks | They shall follow the prescribed process and ensure correct identification of factoring-related transactions |
What exporters would see
The draft says the enhanced system facilitates the integration of remittance data associated with NBFC Factors. Exporters would be able to view these IRMs on the DGFT portal and self-certify their eBRCs by matching the remittance details with the corresponding invoice or Shipping Bill records.
A note on AD Category II entities
The draft also records that RBI has notified the Foreign Exchange Management (Authorised Persons) Regulations, 2026 dated 30 April 2026, which expand the scope of permitted activities of AD Category II entities to include “Foreign trade transactions up to ₹25 lakh per transaction”. AD Category II entities may also be non-bank entities. Once RBI issues licences to applicants, these entities would also undertake reconciliation-related activities in the DGFT system.
Help and support mentioned in the draft
- User manuals: DGFT website, ‘Learn’ section — Application Help and FAQs → eBRC.
- Feedback: ebrc-dgft@gov.in.
- Assistance: the DGFT Helpdesk toll-free number, or a service ticket under Services → DGFT Helpdesk Service.
What stakeholders should do
Exporters who use export factoring, banks, NBFC Factors, Export Promotion Councils and trade bodies may send comments within 30 days from the date of publication of the Trade Notice, by e-mail to ebrc-dgft@gov.in, with the subject line “Comments on Draft SOP for reporting of IRMs pertaining to NBFC Factors”.
Questions and answers
Is the SOP on IRMs of NBFC Factors already applicable?
No. Trade Notice No. 20/2026-27 dated 12 August 2026 circulates a draft SOP and invites comments within 30 days from the date of its publication.
What would NBFC Factors have to do under the draft?
Use the text “AD-AD(P0092) EXP FACTORING PROCEED” in all their SWIFT messages while remitting factoring proceeds in foreign currency to AD-I banks, so that the AD-I banks do not create IRMs against those funds.
Whom should an exporter approach for the IRM when a Factor has paid in rupees?
Under the draft, where a Factor discounts export bills and releases money in INR, the AD-I bank receives no SWIFT message and should advise the customer to approach the Factor only.
How would the exporter get the eBRC?
The draft says exporters would view the IRMs associated with NBFC Factors on the DGFT portal and self-certify their eBRCs by matching the remittance details with the corresponding invoice or Shipping Bill records.
Where should comments be sent?
By e-mail to ebrc-dgft@gov.in, with the subject line “Comments on Draft SOP for reporting of IRMs pertaining to NBFC Factors”.
Published 12 August 2026. Updated 7 October 2026. This report is for general information and is not professional advice. Read the source document before acting on it.