All Authorized Dealers
In Foreign Exchange,

Dear Sirs,

FOREIGN EXCHANGE MANUAL – AMENDMENT

The following amendments are made in Chapter V of the Foreign Exchange Manual:-

1. Paragraph 2.

The existing paragraph 2 is substituted with the following:

"Authorized Dealers are permitted to open and maintain accounts in all fully convertible currencies with their branches and correspondents abroad, subject to the condition that opening of every new account should be reported to the Director, Foreign Exchange Department by a letter giving the name and address of the foreign branch or correspondent with whom the account has been opened and the currency of the an account."

2. Paragraph 4.

Sub-para (ii) is deleted and the following sentence is added at the end of the existing sub-paragraph (i):

"Authorized Dealers should maintain square or near square exchange position." Consequently para 4 (i) may be renumbered as 4.