Economic TimesLean R·
FCNR(B) interest bill to keep dollar hedging costs high
Mumbai: A multibillion-dollar FCNR(B) interest bill, coupled with the Reserve Bank of India's new reserve requirement on forex derivatives, is likely to keep dollar hedging costlier for Indian banks, treasury executives said.While the RBI provided a hedging facility for the $133 billion raised for three to five years under the special window opened for mobilising foreign currency deposits, banks must bear the currency risk on interest payments to non-resident depositors.135667176At an average i…
Read at Economic Times →
