https://www.taxtmi.com/circulars?id=5531 AD Category - I banks may permit domestic oil-refining and shipping companies to hedge freight risk in regulated overseas exchanges or OTC markets for a maximum forward tenor of one year. Oil refiners' hedges must be anchored to import/export contracts or limited anticipated imports based on past performance and regularized by underlying documents; shipping companies' hedges must concern owned/controlled ships without committed employment, with CA certification of quantum and regularization by employment documents. Banks must verify Board-approved Risk Management policies, obtain Board sanction, and ensure transactions reflect the underlying business; other companies must seek RBI permission via AD Category - I banks. en-us Wed, 04 Feb 2009 00:00:00 +0530 Fri, 30 Oct 2009 16:08:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=5531 AD Category - I banks may permit domestic oil-refining and shipping companies to hedge freight risk in regulated overseas exchanges or OTC markets for a maximum forward tenor of one year. Oil refiners' hedges must be anchored to import/export contracts or limited anticipated imports based on past performance and regularized by underlying documents; shipping companies' hedges must concern owned/controlled ships without committed employment, with CA certification of quantum and regularization by employment documents. Banks must verify Board-approved Risk Management policies, obtain Board sanction, and ensure transactions reflect the underlying business; other companies must seek RBI permission via AD Category - I banks. Circulars FEMA Wed, 04 Feb 2009 00:00:00 +0530 https://www.taxtmi.com/circulars?id=5531