AD Code registration, also known as Authorised Dealer Code registration, is a mandatory requirement for businesses in India engaged in foreign exchange transactions. Issued by banks authorized by the Reserve Bank of India (RBI), the AD Code serves as a unique identifier for businesses conducting international transactions. Obtaining an AD Code is essential for businesses involved in import-export activities, as it enables them to undertake foreign currency transactions such as payments for imports, receipts from exports, and other cross-border transactions. The AD Code registration process involves submitting an application to the authorized bank along with necessary documents such as the Importer-Exporter Code (IEC), PAN card, and proof of business address.

Once obtained, the AD Code facilitates smooth and efficient foreign exchange transactions for businesses, allowing them to comply with regulatory requirements and conduct international trade seamlessly. The AD Code enables businesses to receive foreign remittances, make payments for imports, and avail various benefits under government schemes such as duty drawback and export incentives. Additionally, having an AD Code enhances the credibility and trustworthiness of businesses in the eyes of foreign suppliers, buyers, and financial institutions, thereby facilitating smoother transactions and fostering stronger business relationships.

Furthermore, the AD Code registration process has been digitized and streamlined in recent years, making it more accessible and efficient for businesses to obtain their authorized dealer codes. The online application portal allows applicants to submit their AD Code applications electronically, track the status of their applications, and receive notifications regarding any additional requirements or documents needed. This digitization of the AD Code registration process has reduced paperwork, minimized processing times, and improved transparency and accountability in the issuance of AD Codes by authorized banks. Overall, the digitization of AD Code registration reflects India’s commitment to modernizing its financial infrastructure and facilitating ease of doing business for businesses engaged in international trade.