RBI's draft rules for authorized dealers could make forex trading
The Reserve Bank of India just dropped draft rules to simplify how authorized dealers (think: banks and big financial players) handle foreign exchange.
The idea is to cut down on red tape, make compliance less painful, and help these dealers work more efficiently in India's fast-moving forex market.
What's changing?
Under the draft directions, authorized dealers would be permitted to trade with each other for things like hedging risks, balancing their books, or just making markets run smoother.
They're also allowed to use more trading platforms—including some overseas ones (as long as they're from FATF countries)—and even hedge gold price risk if they are a designated bank under the Gold Monetisation Scheme, or a bank allowed to enter into forward gold contracts with its constituents in India.
Plus, reporting requirements are getting a refresh to make life easier for these businesses.
RBI wants feedback by March 10, 2026—so there's time for everyone to weigh in before anything becomes official.