Topic
Currency Fx
Trade Finance Forex Inflow Crosses $20.7 Billion Under RBI Special Swap Scheme
Banks have mobilised over $20.7 billion in foreign exchange inflows under the Reserve Bank of India's special swap scheme, operationalised on 8 June 2026. The bulk came through FCNR(B) deposits at $17.4 billion, with smaller contributions from OFCBs and ECBs. The scheme aims to strengthen India's balance of payments and incentivise capital inflows.
Trade Finance Rupee Tumbles 20 Paise Against US Dollar as Oil Rises and Dollar Strengthens
The Indian rupee weakened 20 paise against the US dollar on Wednesday, opening at 95.15 and slipping to 95.16 in early trade, erasing gains from the previous session. The decline was driven by rising Brent crude oil prices, a stronger US dollar index, and a weak domestic stock market opening, according to a Business-Today report.
Trade Finance Exporters Flag Half-a-Dozen Concerns Over Revised FEMA Rules; RBI Considering Proposals
Exporters have flagged at least half-a-dozen concerns regarding revised Foreign Exchange Management Act (FEMA) rules that take effect later this year, with the Reserve Bank of India (RBI) considering several proposals favourably. Key issues include a 14% fall in priority sector export credit, restrictive export realisation provisions, and difficulties with merchanting trade and EDPMS platforms.
Trade Finance US Dollar's Dominance in Global Trade Examined in BBC Podcast on Currency Power
The BBC podcast 'Rethink' investigates the US dollar's central role in global trade, from Bretton Woods to the Nixon shock, and discusses challenges from China and digital currencies. Trade finance professionals should note implications for sanctions and FX risk.
India and Sri Lanka Strengthen Trade Ties with Local Currency Settlement Initiative
India and Sri Lanka are deepening bilateral trade finance ties through local currency settlement (INR-LKR), reducing dollar dependency and transaction costs. The initiative, discussed at a round-table in Colombo, allows Sri Lankan banks and importers to access Indian rupee loans directly, preserving hard currency reserves.
Trade Finance India and UAE Intensify Efforts to Expand Local Currency Trade Settlement Beyond Oil and Gold
India and the UAE are intensifying efforts to expand the use of local currencies (rupee and dirham) for bilateral trade settlement. More than 15% of trade has been invoiced in local currencies since July 2023, but adoption remains concentrated in oil and precious metals. Authorities plan to simplify procedures, onboard more banks, and engage business communities through roadshows and chambers of commerce to reduce reliance on the US dollar.
Trade Finance Rupee Rebounds 67 Paise to 95.18 vs USD as Oil Prices Slide on Iran Deal Specula
The Indian rupee rebounded sharply by 67 paise to close at 95.18 against the US dollar, driven by a slump in global oil prices amid renewed hopes of a nuclear deal with Iran. The development has direct implications for trade finance professionals, lowering import costs and easing pressure on letters of credit denominated in dollars.
Trade Finance Rupee Strengthens to 95.20 Against US Dollar on Middle East Peace Hopes
The Indian rupee strengthened to 95.20 against the US dollar, driven by hopes for peace in the Middle East, as reported by the TOI Business Desk. The movement has trade finance implications for importers and exporters.
Trade Finance Rupee Strengthens to 95.41 Against US Dollar
The Indian rupee appreciated by 20 paise, reaching 95.41 against the US dollar. This currency movement could influence trade finance costs and availability.
Trade Finance RBI's Forex Risk Absorption to Boost Inflows by $50 Billion
The Reserve Bank of India (RBI) is set to absorb forex risks to attract overseas funds, potentially boosting inflows by $50 billion. This move involves no premium charges on FCNR(B) deposits and a 1.5% swap cost for external commercial borrowings, benefiting public sector undertakings.
Trade Finance Rupee Decline Impacts Trade Finance Amid Rising Crude Prices
The Indian rupee fell 34 paise to 95.19 against the US dollar due to rising crude prices and geopolitical tensions. This depreciation affects trade finance costs, particularly for importers relying on Documentary Letters of Credit.