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Transactions related to global trade flows have significantly improved at present, on account of the internationalization and highly developed e-commerce. Exports and imports opportunities have substantially increased so also risk associated with international trade has reached a high level. Along with issues related to languages used for communication involved in international marketing, drafting of letter of intent / purchase order, drafting of letter of credit, financing during execution of purchase order, pre and post shipment inspection and finally negotiation of bank documents for collection of payments, the international trade was always been quite risky. This risk is because of the fact that exporters and importers are from different countries, separated not only by physical distance but by socio political conditions. Actual trade flows determines quantum of foreign trade. Foreign trade divided by GDP is a good measure of improvement or growth in foreign trade. (Harrison 1996). There is a positive relationship between Foreign Trade well supported by domestic as well as foreign banks and economic growth (Edwards 1992).Mixed results are obtained during the study related to explanation of the causal relationship between the degree of openness of the economy and economic growth. This paper takes a review of India’s Foreign Trade with reference to post RBI Road Map 2005 and financing by Foreign Banks (FB) during the period 2003-2013.

A Review of India’s Foreign Trade with reference to Post RBI Road MAP 2005 and Financing by Foreign Banks (FB) during the period 2003 -2013