Norms for diamond trade credit

The Reserve Bank of India (RBI) has asked commercial banks to obtain a modified undertaking from all clients who are being extended credit for doing any business relating to diamonds to ensure that they comply with the Kimberley Process Certificate guidelines. India is signatory to the UN resolution in this regard. Diamond dealers and traders have to give an undertaking that they will not knowingly do any business, or in any manner, import ‘conflict diamonds’ as have been banned vide UN Security Council Resolutions in this regard; or the ‘conflict diamonds’ from any area in Africa.