Page 7 - Foreign Exchange

Rupee depreciates 15 paise to 82.64 against US dollar in early trade

The rupee depreciated 15 paise to 82.64 against the US dollar in early trade on Thursday after the US Federal Reserve's interest rate hike and its hawkish stance dented investor sentiments. A strong dollar against key rivals overseas and losses in the domestic equity markets sapped risk appetite, forex dealers said. At the interbank foreign exchange, the domestic unit opened sharply lower at 82.63 against the dollar, then slipped further to 82.64, a decline of 15 paise over its previous close. In the previous session on Wednesday, the rupee settled 11 paise higher at 82.49 against the US dollar. The US Fed on Wednesday increased interest rates by 50 basis points on expected lines and signalled more hikes ahead to fight inflation. The US central bank raised the interest rate to 4.25-4.50 per cent to the highest level in 15 years. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose 0.08 per cent to 103.85. Brent crude futures,

DESH Bill: Commerce dept may scrap concessional corporate tax provision

In July, the commerce department sought inter-ministerial comments on the DESH Bill that aims at replacing the existing special economic zone (SEZ) law

Delhi HC seeks RBI response on implementation of Uniform Banking Code

Court also asks Centre to file a reply in the case in six weeks; next hearing on March 20

Hyderabad airport operator to raise Rs 1,250 crore to retire forex debt

To float AA-rated 10-year NCDs at a lower rate of interest than the 5.37% coupon on dollar-denominated senior secured notes due for repayment in April 2024

FM Nirmala Sitharaman confident of strong growth, low inflation in 2023

Sitharaman declined to describe specifics from the letter, but added that the government's top three priorities for 2023 will be "growth, health and education."

ESMA deadlock: European regulator's interference unfortunate, says RBI DG

"Potential disruption to the forex markets can be serious"

Indian govt allows Lankans to hold $10,000 worth of rupee in cash

SL banks must open nostro accounts with Indian banks

RBI sold net $10.36 bn in spot foreign exchange market in Sept: Bulletin

The RBI said it bought $23.27 billion and sold $33.62 billion in the spot market

Giving a thrust: Exports to account for 48% of nine PLI schemes

Data suggests bulk of the exports will come from largescale electronic manufacturing, which is dominated by mobiles

Abuse of Liberalised Remittance Scheme for offshore betting under CBIC lens

Separate investigation on home-grown online gaming companies shows tax evasion of up to Rs 80,000 crore

Rupee marks biggest monthly losing streak since 1985, braces for Fed move

Oil importers' dollar purchases, breach of technical levels drag rupee lower

Foreign exchange reserves fall to $525 billion, lowest since July 2020

So far in 2022, the Indian currency has weakened 9.9 per cent against the US dollar

Rupee, bonds gain on hopes of Federal Reserve slowing rate hikes

At 3:30 pm IST on Thursday, the US dollar index was at 110.09 as against 112.02 at the same time on Tuesday

India's foreign exchange reserves at lowest level since July 2020

The fall in foreign exchange reserves was primarily on account of a decline in the RBI's foreign currency assets that fell $2.8 billion on-week to $468.87 billion

Bangladesh disallows Bollywood actor's dance in bid to save dollars

Nora Fatehi, known for her work in the Indian film industry, wasn't granted permission "in view of the global situation and with the aim of maintaining the foreign exchange reserves

Flows into NRIs deposits moderate to $1.43 billion in Apr-Aug period

Outstanding NRI deposits declined to $134.68 billion at the end of August 2022 from $141.52 billion a year ago

Rupee tumbles 5 paise to 82.29 against US dollar in opening trade

The rupee after opening on a positive note, pared the gains and slipped 5 paise to 82.29 against the US dollar amid high volatility in early trade on Friday. At the interbank foreign exchange, the domestic unit opened at 82.26 against the dollar, then touched 82.12, registering a gain of 12 paise over its previous close. In initial trade, the rupee also touched 82.29 against the American currency. On Thursday, the rupee had settled at 82.24 against the greenback. "Dollar strengthened immediately post the CPI print but saw a massive reversal on short covering in majors," IFA Global Research Academy said in a research note, adding the US headline September CPI came in higher than expected at 8.2 per cent year-on-year (0.4 per cent MoM) against 8.1 per cent yoy (0.2 per cent month-on-month). Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.08 per cent to 112.27. Brent crude futures, the global oil benchmark, fell 0.13 per c

Asian govts spent $50 bn in Sept to defend currencies from strong US dollar

Dollar sales in the region over the first nine months of the year have reached approximately $89 billion including Japan, marking the most active period for foreign-exchange expenditures

RBI asks banks to set aside capital, provisions for unhedged FX exposure

Move comes amid sharp depreciation in rupee; says losses incurred by entities with such exposure could affect health of banking system

RBI allows SPDs to undertake all foreign exchange-related activities

The Reserve Bank of India (RBI) on Tuesday allowed standalone primary dealers to offer all foreign exchange market-making facilities to users, a move aimed at providing broader facilities to customers for currency risk management. At present, Standalone Primary Dealers (SPDs) are permitted to undertake foreign currency business for limited purposes. Currently, there are seven SPDs and 14 bank primary dealers in the country. SPDs will also be permitted to take up trading and self-clearing membership with Sebi-approved stock exchanges and clearing corporations for undertaking proprietary transactions in equity and equity derivatives market. "...it has been decided to allow SPDs to offer all foreign exchange market-making facilities to users, as currently permitted to Category-I Authorised Dealers, subject to adherence to the prudential regulations and other guidelines...," the RBI said in a circular. In August, the RBI said the measure would give forex customers a broader spectrum of