Foreign exchange derivative contracts for non-residents: the prior hedging permission framework under Regulation 5 was omitted. Permission for persons resident outside India to enter foreign exchange derivative contracts under Regulation 5 was omitted with effect from 3 March 2020. ... Summary
Foreign exchange derivative contracts for non-residents: the prior hedging permission framework under Regulation 5 was omitted.
Permission for persons resident outside India to enter foreign exchange derivative contracts under Regulation 5 was omitted with effect from 3 March 2020. The omitted provision had permitted contracts with persons resident in India, in accordance with Schedule II, to hedge risk exposure relating to transactions permissible under the foreign exchange law framework.
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