Booking of Forward Contracts Based on Past Performance

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.... banks is invited to A. P. (DIR Series) Circular No.19 dated January 24, 2002, A. P. (DIR Series) Circular No. 63 dated December 21, 2002, A. P. (DIR Series) Circular No. 26 dated November 1, 2004 and A. P. (DIR Series) Circular No. 22 dated December 13, 2006. 2. At present, AD Category - I banks are permitted to allow importers and exporters to book forward contracts on the basis of a declaratio....

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....has been decided to further liberalise the above facility by raising the eligible limit of 50 per cent to 75 per cent. Accordingly, forward contracts booked on the basis of declaration of an exposure by importers / exporters and based on past performance in excess of 75 per cent of the eligible limit shall be on a deliverable basis and cannot be cancelled. All other conditions and reporting requir....