RBI Authorizes 20 Regional Banks to Open Vostro Accounts of 22 Nations
In accordance with the government, the Reserve Bank of India has authorized 20 domestic banks to open 92 Special Rupee Vostro Accounts (SRVAs) of partner banks from 22 countries as part of efforts to promote bilateral trade in local currencies. Som Parkash, Minister of State for Commerce and Industry, informed the Lok Sabha in a written reply that an MoU was signed on July 15 between the Reserve Bank of India (RBI) and the Central Bank of UAE.
Exporters and importers would be able to invoice and pay in their respective domestic currencies, allowing the development of a bilateral foreign exchange market. As of July 23, 20 Indian banks had been granted permission to open SRVAs of partner banks from 22 countries, including Bangladesh, Belarus, Botswana, Fiji, Germany, Guyana, and Israel. Kazakhstan, Kenya, Malaysia, Maldives, Mauritius, Myanmar, New Zealand, Oman, Russia, Seychelles, Singapore, Sri Lanka, Tanzania, Uganda, and the United Kingdom are among the others.
This would allow exporters and importers to invoice and pay in their respective domestic currencies, allowing the development of a bilateral foreign exchange market. As of July 23, 20 Indian banks were permitted to open SRVAs of partner banks from 22 countries, including Bangladesh, Belarus, Botswana, Fiji, Germany, Guyana, and Israel. Kazakhstan, Kenya, Malaysia, Maldives, Mauritius, Myanmar, New Zealand, Oman, Russia, Seychelles, Singapore, Sri Lanka, Tanzania, Uganda, and the United Kingdom are among the other countries.