Press Releases - RBI - Reserve Bank of India
Press Releases
Apr 19, 2004
RBI advises Banks to accept Coins by Weight
Members of public can now tender current and uncurrent coins at the counters of public and private sector banks as also at the Reserve Bank of India's counters. Banks and the Reserve Bank will accept these coins by weight.The Reserve Bank of India has advised all the branches of public/private sector banks in Mumbai city to accept, by weight, aluminium coins of 5 paise, 10 paise, 20 paise, aluminium bronze coins of 10 paise, stainless coins of 10 paise, cupronickel co
Members of public can now tender current and uncurrent coins at the counters of public and private sector banks as also at the Reserve Bank of India's counters. Banks and the Reserve Bank will accept these coins by weight.The Reserve Bank of India has advised all the branches of public/private sector banks in Mumbai city to accept, by weight, aluminium coins of 5 paise, 10 paise, 20 paise, aluminium bronze coins of 10 paise, stainless coins of 10 paise, cupronickel co
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Apr 17, 2004
RBI Rationalises Non-Resident Deposit Schemes
On a review of the existing non-resident deposit schemes, it has been decided to implement the following measures with immediate effect: Ceiling on Interest Rate on NRE Term Deposits It has now been decided that, until further notice, the interest rates on Non-Resident (External) Rupee (NRE) deposits for one to three years, contracted effective close of business in India on April 17, 2004, should not exceed the LIBOR/SWAP rates for US dollar of corresponding maturity.
On a review of the existing non-resident deposit schemes, it has been decided to implement the following measures with immediate effect: Ceiling on Interest Rate on NRE Term Deposits It has now been decided that, until further notice, the interest rates on Non-Resident (External) Rupee (NRE) deposits for one to three years, contracted effective close of business in India on April 17, 2004, should not exceed the LIBOR/SWAP rates for US dollar of corresponding maturity.
Mar 18, 2004
Liberalised Remittance Scheme of USD 25,000 for Resident Individuals-Investor Protection – Disclosure Requirements
In terms of A.P. DIR (Series) Circular No. 64 dated February 4, 2004, Reserve Bank has operationalised the Scheme permitting resident individuals to make remittance for an amount not exceeding USD 25,000 per calendar year. This facility is now available for making remittance up to USD 25,000 per calendar year for any current or capital account transaction or a combination of both. A number of foreign banks operating in India as well as Indian banks have been subsequen
In terms of A.P. DIR (Series) Circular No. 64 dated February 4, 2004, Reserve Bank has operationalised the Scheme permitting resident individuals to make remittance for an amount not exceeding USD 25,000 per calendar year. This facility is now available for making remittance up to USD 25,000 per calendar year for any current or capital account transaction or a combination of both. A number of foreign banks operating in India as well as Indian banks have been subsequen
Feb 24, 2004
Current Account Transactions Further Lliberalised
In order to further simplify and liberalise the current account transactions, the Reserve Bank of India has announced its decision to freely allow the Authorised Dealers, the following categories of remittances in terms of the Foreign Exchange Management Act (Current Account Transactions) Rules, 2000: Remittance by artistes, e.g., wrestlers, dancers, entertainers etc. Commission to agents abroad for sale of residential plots for amounts up to USD 25,000 or 5 per cent
In order to further simplify and liberalise the current account transactions, the Reserve Bank of India has announced its decision to freely allow the Authorised Dealers, the following categories of remittances in terms of the Foreign Exchange Management Act (Current Account Transactions) Rules, 2000: Remittance by artistes, e.g., wrestlers, dancers, entertainers etc. Commission to agents abroad for sale of residential plots for amounts up to USD 25,000 or 5 per cent
Feb 04, 2004
Liberalised Remittance Scheme of USD 25,000 for Resident Individuals
As a part of the measures for further liberalization, residents would be permitted to remit an amount up to USD 25,000 per calendar year for any purpose without any distinction between the transaction being on the current account or capital account, for which a Scheme has been formulated by the Reserve Bank.All resident individuals are eligible to avail of the facility under the scheme. This facility is available for making remittance up to USD 25,000 per calendar yea
As a part of the measures for further liberalization, residents would be permitted to remit an amount up to USD 25,000 per calendar year for any purpose without any distinction between the transaction being on the current account or capital account, for which a Scheme has been formulated by the Reserve Bank.All resident individuals are eligible to avail of the facility under the scheme. This facility is available for making remittance up to USD 25,000 per calendar yea
Jan 08, 2004
Banks can be penalised for stapling of Currency Note Packets : RBI
The Reserve Bank of India has reiterated that stapling of note packets had been totally banned and no bank or bank branch should issue or accept note packets in stapled condition. It has added that in case any bank or bank branch was found issuing or accepting note packets in stapled condition, it would be liable to be penalised under the existing provisions of the Banking Regulation Act, 1949. The Reserve Bank of India had last year issued a directive under Section 3
The Reserve Bank of India has reiterated that stapling of note packets had been totally banned and no bank or bank branch should issue or accept note packets in stapled condition. It has added that in case any bank or bank branch was found issuing or accepting note packets in stapled condition, it would be liable to be penalised under the existing provisions of the Banking Regulation Act, 1949. The Reserve Bank of India had last year issued a directive under Section 3
Dec 08, 2003
Residential Status of Indian Students Abroad Revised
The Reserve Bank of India has been receiving representations from Indian students studying abroad requesting that they may be treated as non-residents under FEMA. The purport of their argument is that though they are students, they are, in reality, not dependent for a dominant part of their expenses on remittances from their households in India. Often they are permitted to work and have to undertake certain related financial transactions. They urge, therefore, that th
The Reserve Bank of India has been receiving representations from Indian students studying abroad requesting that they may be treated as non-residents under FEMA. The purport of their argument is that though they are students, they are, in reality, not dependent for a dominant part of their expenses on remittances from their households in India. Often they are permitted to work and have to undertake certain related financial transactions. They urge, therefore, that th
Jul 21, 2003
Make Ordinary Bank Customer Ultimate Beneficiary of RTGS:
RBI urges Banks
RBI urges Banks
Shri Vepa Kamesam, Deputy Governor, Reserve Bank of India today urged banks to ensure complete infrastructural and human resources readiness, and connectivity and security at their end so that the Real Time Gross Settlement (RTGS) facilities could percolate to the ordinary customers. He added that one of the primary objectives of every central bank is to put in place a modern, robust, secure and integrated payment and settlement system to enable the common man to make
Shri Vepa Kamesam, Deputy Governor, Reserve Bank of India today urged banks to ensure complete infrastructural and human resources readiness, and connectivity and security at their end so that the Real Time Gross Settlement (RTGS) facilities could percolate to the ordinary customers. He added that one of the primary objectives of every central bank is to put in place a modern, robust, secure and integrated payment and settlement system to enable the common man to make
Jun 05, 2003
RBI appeals to Public to accept only Unstapled Notes
Some sections of the Print Media in their editions dated June 5, 2003, have carried stories on some difficulties and problems in, and plausible reasons, for non-implementation of the Reserve Bank of India’s Directive of November 7, 2001 regarding receipt and payment of cash only in unstapled notes. As the news item is not factual and to remove avoidable confusion, the Reserve Bank clarifies that it had issued the Directive and operative guidelines in November 2001. In
Some sections of the Print Media in their editions dated June 5, 2003, have carried stories on some difficulties and problems in, and plausible reasons, for non-implementation of the Reserve Bank of India’s Directive of November 7, 2001 regarding receipt and payment of cash only in unstapled notes. As the news item is not factual and to remove avoidable confusion, the Reserve Bank clarifies that it had issued the Directive and operative guidelines in November 2001. In
May 30, 2003
Acceptance of Small Coins
The Reserve Bank of India has come across reports in certain sections of the Press and is also receiving complaints that small coins of 5, 10 and 20 paise are not being accepted by banks, commercial organisations and general public for payments on the plea that these coins are no more legal tender. It is clarified that though minting and issue of these coins has been stopped, they have not been withdrawn by Government of India. All such coins issued earlier continue t
The Reserve Bank of India has come across reports in certain sections of the Press and is also receiving complaints that small coins of 5, 10 and 20 paise are not being accepted by banks, commercial organisations and general public for payments on the plea that these coins are no more legal tender. It is clarified that though minting and issue of these coins has been stopped, they have not been withdrawn by Government of India. All such coins issued earlier continue t
May 21, 2003
International Credit Cards: Liberalisation of Facilities for Residents
As a step towards further liberalisation, resident individuals maintaining a foreign currency account with an authorised dealer in India or a bank abroad, as permissible under extant Foreign Exchange Regulations, are free to obtain International Credit Cards (ICCs) issued by overseas banks and other reputed agencies. The charges incurred against the card either in India or abroad, can be met out of funds held in such Foreign Currency Account/s of the card holder or th
As a step towards further liberalisation, resident individuals maintaining a foreign currency account with an authorised dealer in India or a bank abroad, as permissible under extant Foreign Exchange Regulations, are free to obtain International Credit Cards (ICCs) issued by overseas banks and other reputed agencies. The charges incurred against the card either in India or abroad, can be met out of funds held in such Foreign Currency Account/s of the card holder or th
Mar 31, 2003
RBI introducing Special Electronic Funds Transfer
The Reserve Bank of India, in conjunction with the banks, has embarked upon a Special Electronic Funds Transfer (SEFT) Scheme. The Scheme would enable safe, secure and quick transfer of funds electronically across branches of banks at many centres of the country. The Scheme would be introduced from April 1, 2003, with the settlement taking place at Mumbai for inter-bank funds transfers.The salient features of the Scheme are:The Scheme is designed to provide for same d
The Reserve Bank of India, in conjunction with the banks, has embarked upon a Special Electronic Funds Transfer (SEFT) Scheme. The Scheme would enable safe, secure and quick transfer of funds electronically across branches of banks at many centres of the country. The Scheme would be introduced from April 1, 2003, with the settlement taking place at Mumbai for inter-bank funds transfers.The salient features of the Scheme are:The Scheme is designed to provide for same d
Feb 25, 2003
Do away with Stapling of Currency Notes -
RBI appeals to Banks and Public
RBI appeals to Banks and Public
The Reserve Bank of India has made it mandatory on the banks to discontinue the practice of stapling the currency note packets. It has issued a directive to banks under Section 35A of the Banking Regulation Act, 1949 in public interest with the objective of giving clean and good notes to members of public.The Reserve Bank of India has been supplying fresh notes without staples to the banks and the members of public. It however observed that banks stapled these fresh n
The Reserve Bank of India has made it mandatory on the banks to discontinue the practice of stapling the currency note packets. It has issued a directive to banks under Section 35A of the Banking Regulation Act, 1949 in public interest with the objective of giving clean and good notes to members of public.The Reserve Bank of India has been supplying fresh notes without staples to the banks and the members of public. It however observed that banks stapled these fresh n
Jan 30, 2003
Further Liberalisation in use of International Credit Cards
Residents, individuals, as well as corporates, can avail of international credit card facility from any of the card issuers in India. The issuers according to their credit perception fix the credit limit available against such cards. As an endeavor to further liberalise the drawals of foreign exchange for Current account transactions by residents, it has now been decided that the existing requirement of prior permission of the Reserve Bank of India for availing of for
Residents, individuals, as well as corporates, can avail of international credit card facility from any of the card issuers in India. The issuers according to their credit perception fix the credit limit available against such cards. As an endeavor to further liberalise the drawals of foreign exchange for Current account transactions by residents, it has now been decided that the existing requirement of prior permission of the Reserve Bank of India for availing of for
Dec 14, 2002
Bank Loans only against Relief Bonds
It was reported in a section of the press today that the Reserve Bank of India has allowed banks to sanction loans against Relief Bonds.The Reserve Bank of India has clarified that as per Government of India instructions, banks are allowed to sanction loans against Relief Bonds only. This facility is not available against 7 per cent Savings Bonds, 2002, which is a new scheme introduced in October 2002. The 7 per cent Savings Bonds 2002, which were introduced from Octo
It was reported in a section of the press today that the Reserve Bank of India has allowed banks to sanction loans against Relief Bonds.The Reserve Bank of India has clarified that as per Government of India instructions, banks are allowed to sanction loans against Relief Bonds only. This facility is not available against 7 per cent Savings Bonds, 2002, which is a new scheme introduced in October 2002. The 7 per cent Savings Bonds 2002, which were introduced from Octo
Dec 05, 2002
Clean Note Policy: RBI
Shri Vepa Kamesam, Deputy Governor, Reserve Bank of India, exhorted the banks to implement the Reserve Bank's instructions issued from November 2001 to do away with stapling of note packets and to introduce banding the packets with paper/polythene bands so that the life of the currency notes is increased. The Deputy Governor took a meeting of Chief Executives of public sector banks and other banks having currency chests in Delhi today to discuss matters connected with
Shri Vepa Kamesam, Deputy Governor, Reserve Bank of India, exhorted the banks to implement the Reserve Bank's instructions issued from November 2001 to do away with stapling of note packets and to introduce banding the packets with paper/polythene bands so that the life of the currency notes is increased. The Deputy Governor took a meeting of Chief Executives of public sector banks and other banks having currency chests in Delhi today to discuss matters connected with
Nov 28, 2002
Facilities for Exchanging Soiled and Mutilated Notes
Members of public are hereby informed that the Reserve Bank of India (RBI) has authorized all branches of public sector banks and all currency chest branches of private sector banks to accept and exchange all types of soiled/mutilated notes of all denominations. Refund value of such notes in exchange is, however, paid as per RBI (note Refund) Rules, 1975. With a view to render better service to the public the exchange facility for mutilated notes is also offered by RB
Members of public are hereby informed that the Reserve Bank of India (RBI) has authorized all branches of public sector banks and all currency chest branches of private sector banks to accept and exchange all types of soiled/mutilated notes of all denominations. Refund value of such notes in exchange is, however, paid as per RBI (note Refund) Rules, 1975. With a view to render better service to the public the exchange facility for mutilated notes is also offered by RB
Nov 01, 2002
New Facility of Foreign Currency Accounts for Resident Individuals
At present, a resident in India is permitted to retain upto US $ 2000 or its equivalent in cash and/or travellers cheques provided the same has been acquired:while on visit to any place outside India by way of payment for services;from any person not resident in India or who is on a visit to India, in settlement of any lawful obligations;by way of honorarium or gift while on a visit outside India;from an authorised person for travel abroad and represents unspent amoun
At present, a resident in India is permitted to retain upto US $ 2000 or its equivalent in cash and/or travellers cheques provided the same has been acquired:while on visit to any place outside India by way of payment for services;from any person not resident in India or who is on a visit to India, in settlement of any lawful obligations;by way of honorarium or gift while on a visit outside India;from an authorised person for travel abroad and represents unspent amoun
Oct 21, 2002
e-Gold Violative of Indian Rules : RBI
It has been brought to the notice of the Reserve Bank of India that an impression is sought to be created among the members of public by some agencies/persons that transactions involving "e-gold", purportedly an electronic currency, are freely permitted in India and that "e-gold" has the status of a foreign currency. The Reserve Bank has also come across a recent pamphlet on the subject, circulated along with a newspaper, which states that non-resident Indians use "e-
It has been brought to the notice of the Reserve Bank of India that an impression is sought to be created among the members of public by some agencies/persons that transactions involving "e-gold", purportedly an electronic currency, are freely permitted in India and that "e-gold" has the status of a foreign currency. The Reserve Bank has also come across a recent pamphlet on the subject, circulated along with a newspaper, which states that non-resident Indians use "e-
Sep 06, 2002
Procedure for Release of Foreign Exchange for Medical
Treatment Abroad Liberalised
Treatment Abroad Liberalised
With a view to enabling residents to avail of foreign exchange for medical treatment abroad without any hassles and any loss of time, it has now been decided that authorised dealers may release foreign exchange upto US$50,000, for medical treatment outside India, without insisting on any estimate from a doctor or hospital, on the basis of a declaration of requirement given by the applicant, provided the payment for purchase of such foreign exchange is being made by ch
With a view to enabling residents to avail of foreign exchange for medical treatment abroad without any hassles and any loss of time, it has now been decided that authorised dealers may release foreign exchange upto US$50,000, for medical treatment outside India, without insisting on any estimate from a doctor or hospital, on the basis of a declaration of requirement given by the applicant, provided the payment for purchase of such foreign exchange is being made by ch
Sep 06, 2002
Liberalisation of Loans from Close Relatives outside India
The Reserve Bank of India has been taking steps towards procedural simplifications and liberalisation of the existing rules and regulations relating to the foreign exchange transactions by residents in India.Under the existing Regulations, residents have general permission to borrow upto US$250,000 from their close relatives resident outside India provided the loan is free of interest and is not repayable before seven years. In view of the representations received by
The Reserve Bank of India has been taking steps towards procedural simplifications and liberalisation of the existing rules and regulations relating to the foreign exchange transactions by residents in India.Under the existing Regulations, residents have general permission to borrow upto US$250,000 from their close relatives resident outside India provided the loan is free of interest and is not repayable before seven years. In view of the representations received by
Aug 29, 2002
RBI to engage Agencies for Distribution of Coins
The Reserve Bank of India has invited applications from agencies for undertaking distribution of coins on an experimental basis. The Reserve Bank, has stated that it will pay service charges to the agencies that undertake distribution of coins. The Reserve Bank will pay a service charge of Rs. 250 per coin bag collected from its counters. The agencies would, however, have to distribute coins to the public at face value without any charge/commission. Coins will be avai
The Reserve Bank of India has invited applications from agencies for undertaking distribution of coins on an experimental basis. The Reserve Bank, has stated that it will pay service charges to the agencies that undertake distribution of coins. The Reserve Bank will pay a service charge of Rs. 250 per coin bag collected from its counters. The agencies would, however, have to distribute coins to the public at face value without any charge/commission. Coins will be avai
Jun 18, 2002
Use of International Credit Cards on Internet
The Reserve Bank of India in paragraph 3, of its Circular AP(DIR Series) No.19 dated October 30, 2000, had indicated that Credit Cards, ATM Cards and Debit Cards etc, being only different methods of payment, all Rules/Regulations and directions issued under the Foreign Exchange Management Act, 1999 (FEMA), apply to Credit Cards, Debit Cards and ATM Cards etc. also. With a view to clarifying the permissible uses of International Credit Cards on Internet, it is clarifie
The Reserve Bank of India in paragraph 3, of its Circular AP(DIR Series) No.19 dated October 30, 2000, had indicated that Credit Cards, ATM Cards and Debit Cards etc, being only different methods of payment, all Rules/Regulations and directions issued under the Foreign Exchange Management Act, 1999 (FEMA), apply to Credit Cards, Debit Cards and ATM Cards etc. also. With a view to clarifying the permissible uses of International Credit Cards on Internet, it is clarifie
May 04, 2002
RBI follows Clean Note Policy : Instals New Machines for Faster Weeding out of Soiled Notes
"The Reserve Bank of India is committing to the 'Clean Note Policy' for the citizens of this country and will command all its resources including technology for achieving the goal due to the nation". Shri Vepa Kamesam, Deputy Governor, Reserve Bank of India stated this while inaugurating the new Currency Verification and Processing Systems (CVPS) at New Delhi office of the Reserve Bank of India. Shri S. S. Kohli, Chairman & Managing Director, Punjab National Bank,
"The Reserve Bank of India is committing to the 'Clean Note Policy' for the citizens of this country and will command all its resources including technology for achieving the goal due to the nation". Shri Vepa Kamesam, Deputy Governor, Reserve Bank of India stated this while inaugurating the new Currency Verification and Processing Systems (CVPS) at New Delhi office of the Reserve Bank of India. Shri S. S. Kohli, Chairman & Managing Director, Punjab National Bank,
Nov 26, 2001
Currency notes and coins of Rs.2 and Rs.5
Denominations are Legal Tender
Denominations are Legal Tender
At certain locations in a few cities/towns, bill boards have appeared indicating that the notes and coins of Rs.2 and Rs.5 denominations have ceased to be legal tender. The report is baseless and misleading. The Reserve Bank of India clarifies that the notes and coins of Rs.2 and Rs.5 continue to be legal tender. The members of public can freely accept and transact their business in these notes and coins and need not to be misled by any such propaganda.N.L. Rao Asst.
At certain locations in a few cities/towns, bill boards have appeared indicating that the notes and coins of Rs.2 and Rs.5 denominations have ceased to be legal tender. The report is baseless and misleading. The Reserve Bank of India clarifies that the notes and coins of Rs.2 and Rs.5 continue to be legal tender. The members of public can freely accept and transact their business in these notes and coins and need not to be misled by any such propaganda.N.L. Rao Asst.
Nov 13, 2001
Foreign Currency Notes and Coins for Travellers Abroad
Authorised dealers and full fledged money changers are now permitted to release foreign exchange in the form of foreign currency notes and coins to travellers abroad upto US $ 2,000 or its equivalent without prior permission of the Reserve Bank of India. The Reserve Bank of India has amended its instructions to this effect with a view to simplifying procedures. The existing limit for releasing foreign exchange to travellers abroad in the form of foreign currency notes
Authorised dealers and full fledged money changers are now permitted to release foreign exchange in the form of foreign currency notes and coins to travellers abroad upto US $ 2,000 or its equivalent without prior permission of the Reserve Bank of India. The Reserve Bank of India has amended its instructions to this effect with a view to simplifying procedures. The existing limit for releasing foreign exchange to travellers abroad in the form of foreign currency notes
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