Current Context: On 21 July 2026, EbixCash World Money became India’s first non-bank Authorised Dealer Category-II entity to receive RBI approval for processing eligible trade remittances.
- Under the approval, EbixCash can process permitted import and export-related foreign-exchange payments of up to ₹25 lakh per transaction.
- The service is expected to benefit MSMEs, small exporters and importers, which often require faster and more accessible cross-border payment facilities.
- EbixCash can also handle eligible family-maintenance remittances, subject to the conditions prescribed under FEMA and the Liberalised Remittance Scheme.
- Customers must submit the required invoices, purpose documents and identity details. All transactions will remain subject to KYC and anti-money-laundering rules.
- AD-II entities normally handle limited foreign-exchange transactions such as education, travel and medical remittances. The new permission expands EbixCash’s role into selected trade payments.
- The approval does not make EbixCash a bank or an AD Category-I entity. It can undertake only those foreign-exchange transactions specifically permitted by RBI.
- The move aims to increase competition, reduce processing time and make regulated trade-remittance services more accessible beyond traditional banking channels.
Question:
Q1. Which company became India’s first non-bank Authorised Dealer Category-II entity approved by RBI to process eligible trade remittances?a) Muthoot Finance
b) EbixCash World Money
c) Paytm Payments Bank
d) Western Union India
Answer: b) On 21 July 2026, EbixCash World Money received RBI approval to process eligible import- and export-related foreign-exchange payments of up to ₹25 lakh per transaction.
