RBI received good response from countries for rupee trade: T Rabi Sankar

Internationalisation of rupee reduces need for FX reserves

The Reserve Bank of India (RBI) has received an encouraging response from countries to take part in rupee-based trading and the Asian Clearing Union is exploring a scheme to use domestic currencies for settlement, Deputy Governor T. Rabi Sankar said.

“An arrangement, bilateral or among trading blocs, which offers importers of each country the choice to pay in domestic currency is likely to be favoured by all countries, and therefore, is worth exploring,” Sankar said at the Annual Day event of the Foreign Exchange Dealers Association of India at Mumbai.

Sankar delivered his speech in the context of the progress