April 02, 2024
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Restriction on Trades under Currency Segment

This is with reference to NSE & BSE Circulars with reference number NSE/CD/61402 dated 01-Apr-2024, and Notice No.20240401-9 dated 01-Apr-2024 pertaining to “Risk Management and Inter-Bank Dealings – Hedging of foreign exchange risk”.

Based on the above circulars, following changes will take place in the Currency Segment:

  • From 03-Apr-2024, no fresh positions will be allowed in the currency segment. However, you can still exit/square off your existing positions.
  • If you wish to continue holding your current position, you need to ensure existence of a valid underlying contracted exposure which has not been hedged using any other derivative contract and should be in a position to establish the same, if required.
  • For any existing position without Contracted Exposure, you are advised to square-off the existing positions by 05-Apr-2024 to avoid any violations under FEMA by you.

    • Please take note of this and trade accordingly.

    Refer: RBI Circular

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