Reserve Bank of India (RBI) issued a circular on June 11, 2024, extending the facility for opening additional special current accounts to AD Category-I banks. This move, following a review of previous guidelines, allows these banks to now use these accounts for both export and import transactions in Indian Rupees (INR). By streamlining trade settlement processes and enhancing operational flexibility, the RBI aims to bolster India’s position in international trade while simplifying procedures for businesses.
Reserve Bank of India
RBI/2024-2025/43
FED Circular No. 11
June 11, 2024
All Scheduled Commercial Banks
(holding AD Category-I license)
Madam/Sir
International Trade Settlement in Indian Rupees (INR)
– Opening of additional Current Account for settlement of trade transactions
Attention of Authorised Dealer Category – I (AD Category – I) banks is invited to FED Circular No. 08 dated November 17, 2023, in terms of which, AD Category-I banks maintaining Special Rupee Vostro Account vide A.P. (DIR Series) Circular No.10 dated July 11, 2022 on International Trade Settlement in Indian Rupees (INR) were permitted to open an additional special current account for its constituents, exclusively for settlement of export transactions.
2. On a review, and to provide operational flexibility, the facility of opening an additional special current account by the AD Category-I banks (maintaining Special Rupee Vostro Account in terms of the RBI circular dated July 11, 2022 referred above) for its constituents may be extended for settlement of their export as well as import transactions.
3. The contents of this circular may be brought to the notice of your constituents.
Yours faithfully
(N. Senthil Kumar)
General Manager
