Indian banks start trading in non-deliverable forward mkts for first time

RBI in the past was against this market, but gave way when it was found that the offshore volume in rupee trading is actually higher than the onshore volume

Foreign branches of Indian banks and those located in the International Financial Services Centre (IFSC) in GIFT City traded in non-deliverable forwards (NDF) for the first time on Monday.

The RBI in the past was against this market, but gave way when it was found that the offshore volume in rupee trading is higher than the onshore one. 

There was no statement yet from IFSC on the first day trade, but some of the banks spoke on condition of anonymity.

 

Bankers said the volume