Foreign currency-rupee option contracts permitted to hedge eligible exchange exposures under the same terms as forward contracts. The amendment authorises persons resident in India, and specific non-resident categories (Foreign Institutional Investors, Non-Resident Indians, and persons outside India with Foreign Direct Investment in India), to enter into foreign currency-rupee option contracts with authorised dealers to hedge exchange risk in respect of transactions permitted under the Act, on the same terms and conditions applicable to forward contracts, and gives the regulation retrospective effect from July 7, 2003 with a non-adverse-effect clarification.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Foreign currency-rupee option contracts permitted to hedge eligible exchange exposures under the same terms as forward contracts.
The amendment authorises persons resident in India, and specific non-resident categories (Foreign Institutional Investors, Non-Resident Indians, and persons outside India with Foreign Direct Investment in India), to enter into foreign currency-rupee option contracts with authorised dealers to hedge exchange risk in respect of transactions permitted under the Act, on the same terms and conditions applicable to forward contracts, and gives the regulation retrospective effect from July 7, 2003 with a non-adverse-effect clarification.
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