RBI Urges Banks to Fix Retail FX Services as India’s Daily Market Turnover Reaches $80 Billion
Updated
Updated · Yahoo Finance · Aug 20
RBI Urges Banks to Fix Retail FX Services as India’s Daily Market Turnover Reaches $80 Billion
2 articles · Updated · Yahoo Finance · Aug 20
Summary
RBI Deputy Governor Rohit Jain said lenders must set clear policies on retail foreign-exchange charges, documentation, timelines and grievance handling after a review found gaps between regulatory intent and customer outcomes.
The review flagged multiple documentation demands and delays in executing outward remittances, highlighting weak policies for customer transactions, fees and required paperwork.
$80 billion in average daily turnover now flows through India’s FX market, including spot and derivatives, while the non-deliverable forwards market handles about $7 billion a day.
Jain said the next decade’s priorities should include expanding the market-maker base, increasing public-sector bank participation and encouraging more electronic trading platforms.