Electronic Bank Realization Certificate | e-BRC

Electronic Bank Realization Certificate is other known as e-BRC. Reserve Bank of India (RBI) issues this document to exporters as the evidence of the payment received for the exported goods or services. The e-BRC system was introduced by the RBI in 2015 to streamline and automate the process of issuing and tracking BRCs.

In other words, e-BRC is a document that confirms the receipt of payment by an exporter from a foreign buyer for the goods exported. It is issued by a bank authorized by the Reserve Bank of India (RBI) and is an important document for businesses engaged in exports.

 
The e-BRC is a digital certificate that is generated and issued by the RBI through an online portal.
 
E-BRC contains below information:
Name of the exporter
Address of the exporter
Name of the buyer/importer (overseas)
Description of goods & services (exported)
Value of goods & services (exported)
The currency
Date of export
Payment received date
 
Exporters can use the e-BRC as proof of receipt of payment for their exported goods or services when applying for various export incentives and benefits, such as duty drawback and export promotion schemes. The e-BRC can also be used by exporters to comply with various regulatory requirements, such as filing of export declarations and tax returns.
 

The importance of e-BRC can be understood from the following points:

Compliance: e-BRC is an essential document for complying with the regulations of the RBI and the government of India. It helps exporters to prove that they have received payment for the goods they have exported, and ensures that the foreign exchange earned from exports is properly accounted for.

Transparency: e-BRC brings transparency to the export process by providing a verifiable record of foreign exchange earnings. It helps in reducing the scope of disputes between exporters and banks, as well as between banks and the RBI.

Availability: With the introduction of e-BRC, exporters can now easily access their export earnings data online, which was not possible earlier. This makes it easier for them to track their payments and reconcile their accounts.

Efficiency: e-BRC eliminates the need for physical documents and reduces the time and effort required to obtain them. It simplifies the export process and makes it more efficient for businesses.

Facilitation of trade: e-BRC promotes international trade by making it easier for exporters to provide proof of payment to their foreign customers. This enhances the trust between buyers and sellers, which is essential for long-term trade relationships.

In conclusion, e-BRC system has made the process of obtaining BRCs faster and more efficient, as exporters can now access their BRCs online and do not need to visit their banks or the RBI to obtain physical certificates. The e-BRC system has also helped to improve transparency and reduce the scope for errors or fraud, as all BRCs are now issued and tracked electronically.