RBI Allows Net Based Forex Services

The Reserve Bank of India (RBI) has decided to allow banks to offer Internet-based foreign exchange services for permitted underlying transactions in addition to the local currency products already allowed to be offered on Internet-based platforms.

According to an RBI notification, the services offered through Internet for banks' customers on an Internet-based platform for dealing in foreign exchange, should allow only reporting and initiation of foreign exchange related transactions. The actual trade transactions should be permitted only after verification of physical documents