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RBI relaxes foreign investment norms for exchange-traded FX derivatives

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Reuters MUMBAI
Last Updated : Mar 31 2015 | 9:22 PM IST

MUMBAI (Reuters) - The Reserve Bank of India (RBI) relaxed rules for foreign investors in exchange-traded currency derivatives by increasing the trading limits allowed without an underlying exposure for the USD/INR pair to $15 million per exchange from $10 million earlier.

The RBI also said that foreign portfolio investors can take long or short positions of up to $5 million in Euro/INR, GBP/INR, JPY/INR pairs in exchange traded derivatives.

The central bank also permitted importers to hedge up to 100 percent of their eligible limit in the exchange-traded market compared with 50 percent earlier.

For the link, see: https://bsmedia.business-standard.combit.ly/19Fcd5R

(Reporting by Suvashree Dey Choudhury and Sumeet Chatterjee; Editing by Rafael Nam)

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First Published: Mar 31 2015 | 9:08 PM IST

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