RBI gives leeway to banks for borrowing under concessional swap window

Banks will have to get firm commitment from international/multilateral financial institutions in regard on or before Nov 30

The Reserve Banks of India has given a leeway to those banks which are currently negotiating with international/multilateral financial institutions for borrowing under the RBI's concessional swap window.

These banks will have to get a firm commitment from international/multilateral financial institutions in this regard on or before November 30. They will be allowed to enter into a forward-forward swap.

They will sell the foreign exchange corresponding in the forwards market for the money that will receive up to December 31.