What Is Authorised Dealer Bank?

An AD bank is a bank that the RBI has authorised to handle foreign exchange business. When you export goods or services, you work with an AD bank to receive the money and report the export. The bank checks documents, records the export, and later closes the entry once the payment is realised. For services, the AD bank is also the authority that handles your EDF. Not every bank branch handles every foreign exchange matter, so ask your branch which desk deals with export remittances. Keep your invoices and payment details ready, as the bank may ask for them.

For example, a freelance designer in Pune invoices a client in Canada for CAD 1,500. The AD bank receives the remittance, records the purpose and matches it to the invoice and EDF.

• Bank compliance: Under Regulation 4(2), the AD bank closes or updates the EDPMS entry. You cannot do this yourself.
• EDF: For services, the AD bank is the specified authority for the EDF under Regulation 2(1)(f), and the EDF is filed within the time set in Regulation 3(2).
• Realisation: Regulation 5 sets the period for realisation, and the AD bank may extend it. Ask your bank what it needs for an extension.
• FIRA and e-BRC: The AD bank issues the inward remittance advice and supports e-BRC generation. Ask your bank which documents it provides.

The AD bank sits between the exporter, the overseas payer and the RBI reporting system.

1. The exporter files the EDF or shipping documents with the AD bank or Customs as applicable.
2. The overseas payer sends the remittance to the exporter's account.
3. The AD bank credits the account and records the purpose of the payment.
4. The bank matches the receipt to the export entry.
5. The bank closes or updates the entry under Regulation 4(2).
6. If proceeds are delayed, the bank can consider an extension request.

Choose a bank that is authorised as an AD and that can handle export remittances for your kind of work. Then register your export details with that bank and keep the same bank for receipts where possible.

1. Ask your bank whether it is an AD bank and whether your branch handles export receipts.
2. Share your IEC and business details if you are registered, as the bank requests.
3. Give the bank your invoices and EDF for services.
4. Provide the bank's account details to your buyer for inward payments.
5. Check status of open EDPMS entries with the bank from time to time.
6. Keep all bank advices for tax and compliance records.

• Any bank: Only banks authorised under Section 10(1) of FEMA act as AD banks. Check with your bank before relying on it.
• RBI handles files: Exporters submit documents to the AD bank, not to the RBI directly.
• Only for goods: AD banks handle services exports too, including the EDF.
• Same as correspondent bank: An AD bank is the exporter's authorised bank in India. A correspondent bank is a different bank in the payment chain.

• EDPMS: The system AD banks use to track exports.
• EDF: The export declaration filed with the AD bank for services.
• AD code: A code linking a port to an AD bank.
• Correspondent bank: A bank that passes a payment along the chain.
• FIRA: Bank advice for a foreign payment credit.

Every rule and definition on this page is linked to its official source, checked on the dates below.

1. FEMA (Export and Import of Goods and Services) Regulations, 2026, Notification FEMA 23(R)/2026-RB, Regulations 2(1)(b), 2(1)(f), 3(2), 4(2), 5, 18(2) (checked 9 Oct 2026)