The Reserve Bank of India will open a dedicated FX window on Monday to supply dollars to three state-owned oil companies, meeting their full daily USD needs via dollar sales through designated banks. RBI has barred re-registration of any previously cancelled rupee-related FX derivative contracts. It cut the threshold for hedges that do not require proof of underlying assets from an equivalent of $100m to $5m. RBI also introduced an FX risk reserve requiring banks to deposit cash equal to 20% of

The Reserve Bank of India will open a dedicated FX window on Monday to supply dollars to three state-owned oil companies, meeting their full daily USD needs via dollar sales through designated banks. RBI has barred re-registration of any previously cancelled rupee-related FX derivative contracts. It cut the threshold for hedges that do not require proof of underlying assets from an equivalent of $100m to $5m. RBI also introduced an FX risk reserve requiring banks to deposit cash equal to 20% of the rupee-equivalent nominal amount with the central bank for any transaction with nominal value above $2m.