What is Realisation Period?
The realisation period is the deadline by which an exporter must receive the full value of an export. Under the Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026, the period for services is 9 months from the invoice date. Where the export is invoiced or settled in Indian rupees, the period is 12 months (Regulation 5(1)(a)). Your AD bank can extend the period if you make a reasoned request.
Why it matters for exporters
The clock starts on the invoice date, not the date you file the EDF or the date work was delivered. That makes invoice dating and payment terms part of FEMA compliance. If a foreign client is slow, an entry can sit open in EDPMS past the deadline, which may hold up your eBRC and draw questions from the bank.
Track every invoice against its deadline in an EDF register, and act before the period runs out. If a client is genuinely delayed, write to your bank with the reasons and the expected payment date. Our realisation extension request letter gives you a ready format. Approval is at the bank's discretion, so ask early.
Example
| Invoice | Date | Currency | Realise by |
|---|---|---|---|
| INV-041 | 10 Oct 2026 | USD | 10 Jul 2027 |
| INV-042 | 22 Oct 2026 | INR | 22 Oct 2027 |
Zen Ledger LLP raised both invoices in October 2026 and files one EDF by 30 November 2026. The USD invoice has 9 months; the rupee invoice has 12. By June 2027 INV-041 is still unpaid, so Zen Ledger writes to the bank for an extension.
Common confusion
The realisation period is different from the EDF filing deadline. Read how to request an extension if a client is running late.