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RBI’s new forex reserve rules explained: FAQs on the 20% requirement, $2 million threshold and exemptions

News Desk22 Oct 2026 2 min read

The RBI has clarified how its 20% Foreign Exchange Risk Reserve requirement applies to rupee-linked currency derivatives, including the $2 million threshold, exemptions…

The RBI has clarified how its 20% Foreign Exchange Risk Reserve requirement applies to rupee-linked currency derivatives, including the $2 million threshold, exemptions, cancellations and rollovers.

Why this matters

Regulatory and legal changes affect how businesses file, pay and stay compliant. Even small amendments can change deadlines, disclosures or penalties, so it pays to understand the context before acting.

What to watch

Track the official notification or judgment for exact wording and effective dates. If your business is directly affected, review your filings, contracts and internal timelines with a qualified professional.

Disclaimer

This is general information for awareness only, not legal, tax or investment advice. For guidance on your specific situation, speak to a qualified professional.

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