EDPMS & IDPMS Reconciliation: How Exporters and Importers Can Clear Pending Entries

August 05, 2026

An export payment may have been received—or an import payment completed—yet the related Shipping Bill or Bill of Entry may still appear as outstanding in the banking system.

These pending records can arise from missing documents, incorrect references, differences in invoice and payment values, credit notes or improper transaction matching. If they remain unresolved, they may lead to repeated bank follow-ups and additional compliance concerns.

With increased attention on old trade and payment mismatches, exporters and importers should review their EDPMS and IDPMS records instead of treating them as inactive data.

What Are EDPMS and IDPMS?

In simple terms, EDPMS connects an export transaction with the money received from the overseas buyer, while IDPMS connects an import payment with evidence that the goods were imported.

The concerned Authorised Dealer Category-I bank reports, reconciles and closes these entries.

Why Do Entries Remain Pending?

A pending entry does not always mean that payment is unpaid. The transaction may remain unmatched because of:

Incorrect Shipping Bill, Bill of Entry or invoice references

Differences between invoice and payment values

Incorrect remittance purpose codes

Credit notes, discounts, bank charges or short realisation

Export proceeds received through a different bank

Import remittances not matched with the relevant Bill of Entry

Advance receipts or remittances not adjusted against the final transaction

Missing bank advice, SWIFT records or FIRC/e-FIRC, wherever applicable

Company merger, name change or change of AD bank

Duplicate, incomplete or technically incorrect data

The reason must be identified for each entry because the required treatment may differ.

Recent Development: RBI Reportedly Asks Banks to Address the Backlog

A media report published on 20 July 2026 stated that RBI had asked banks in a recent meeting to examine and resolve long-pending mismatches between trade records and payment flows.

Banks may need to verify invoices, banking records, customer statements and transaction history before closing genuine legacy cases.

However, this reported development should not be treated as a new amnesty, automatic closure facility or universal deadline. Unless further formal directions are issued, each case must be handled under the applicable RBI/FEMA framework and the concerned AD bank’s verification process.

Simplified Process for Entries Up to ₹10 Lakh

RBI had already introduced a simplified process through A.P. (DIR Series) Circular No. 12 dated 1 October 2025.

For an EDPMS or IDPMS entry valued at ₹10 lakh or less per entry or bill, reconciliation and closure may be undertaken based on:

• A declaration from the exporter confirming that the export amount has been realised; or
• A declaration from the importer confirming that the import amount has been paid.

Eligible declarations may also be submitted quarterly in a consolidated form. The circular permits reduction in the declared or invoice value to be accepted based on the concerned exporter’s or importer’s declaration.

The declaration must be factually correct. The facility cannot be used where payment remains genuinely unpaid or unrealised. Transactions exceeding ₹10 lakh and complex cases may require additional documents and examination under the applicable provisions.

How Can Pending Entries Be Reconciled?

1. Obtain the outstanding statement

Request the latest EDPMS or IDPMS statement from the concerned AD bank. Businesses dealing with multiple banks should obtain the relevant records from each bank.

2. Identify the reason for every entry

Classify entries as payment completed but unmatched, partly paid or realised, genuinely outstanding, incorrectly reported, duplicated or unsupported by available documents.

3. Match the supporting records

Depending on the transaction, the bank may require the Shipping Bill or Bill of Entry, commercial invoice, bank advice, remittance or SWIFT details, credit/debit notes, ledger extracts, contracts and a reconciliation statement or declaration.

4. Determine the correct regulatory treatment

For an EDPMS case, the treatment may involve matching export proceeds, correcting references, adjusting an advance, obtaining an extension or seeking a permitted reduction or write-off.

For an IDPMS case, it may involve matching the outward remittance with the Bill of Entry or other acceptable evidence, correcting references or accounting for a refund or cancellation.

The concerned AD bank determines the appropriate treatment based on the facts and applicable provisions.

5. Submit and confirm closure

Submit an entry-wise reconciliation with supporting documents to the bank that handled the transaction. Submission alone does not mean the entry has been closed; obtain confirmation and review the updated outstanding statement.

Does Every Pending Entry Mean a FEMA Violation?

No. A pending EDPMS or IDPMS entry does not automatically establish a FEMA violation. Payment may have been completed but not correctly matched because of a documentary or technical discrepancy.

However, prolonged or unexplained outstandings—particularly where export proceeds remain unrealised and no valid extension has been obtained—may lead to additional bank follow-up and regulatory concerns.

Why Should Businesses Review Their Entries Now?

Timely reconciliation can help businesses:

Identify payment and documentation mismatches

Reduce repeated bank follow-ups

Improve the accuracy of trade records

Prepare for audits and compliance reviews

Address genuinely outstanding transactions appropriately

Regular exporters and importers, companies using multiple banks, high-volume traders and businesses affected by mergers or missing legacy records should prioritise an EDPMS/IDPMS health check.

Disclaimer

This article is intended solely for general information and awareness. It does not constitute legal, banking, financial or FEMA advice. The treatment of each transaction depends on its facts, applicable regulations and the requirements of the concerned Authorised Dealer bank. Businesses should obtain case-specific professional advice before taking any action.