MUMBAI (Reuters) - The Reserve Bank of India (RBI) relaxed some of the forex hedging rules for importers and exporters, to allow greater operational flexibility, the central bank notified on Thursday.
Importers and exporters can cancel up to 75 percent of their hedged FX exposures, as against 25 percent earlier, the RBI said.
In addition, the profit or loss from these cancellations will be borne by the importer/exporter instead of passing it on to the customers as was mandated earlier.
For the full circular see, (http://tinyurl.com/qcbmlu2)
(Reporting by Neha Dasgupta and Swati Bhat; Editing by Subhranshu Sahu)
