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of Category-I Authorised Dealer banks are now permitted to open Special Rupee Vostro Accounts for overseas correspondent banks without prior approval from the Reserve Bank of India. This change, effective immediately, modifies previous requirements and aims to facilitate international trade settlements in Indian Rupees. Banks must inform their clients and constituents accordingly. These directions are issued under the Foreign Exchange Management Act, 1999, and do not override any other legal permissions or approvals that may be necessary.
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