India allows rupee settlement for export promotion schemes

The Central Government has permitted international trade settlements in Indian rupees for export promotion schemes under the foreign trade policy to facilitate and to bring ease in international trade transactions in Indian Rupees. 

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In accordance with its long term vision, the Central Government on Wednesday permitted international trade settlements in Indian rupees for export promotion under the foreign trade policy. 

“Given the rise in interest in internationalisation of Indian Rupee, the given Policy amendments have been undertaken to facilitate and to bring ease in international trade transactions in Indian Rupees,” the Ministry of Commerce & Industry said in a statement.

According to the Ministry statement, changes have been notified for imports, exports, export performance for recognition as Status Holders, realisation of export proceeds under advance authorisation and Duty-Free Import Authorisation schemes, and realisation of export proceeds under export promotion capital goods scheme.

The local unit at the interbank foreign currency market opened at 81.43 and experienced an intraday high of 81.23 and low of 81.62. Benchmark Brent crude futures for world oil decreased by 0.64% to US$ 94.75 per barrel. Rupee continued to strengthen as selling pressure on the wider dollar increased. In anticipation of the results of the US midterm elections, the dollar remained weak.