All Authorised Dealers
in Foreign Exchange,

Dear Sirs,

ACCOUNTS OF DIPLOMATIC MISSIONS INTERNATIONAL ORGANIZATIONS ETC

Attention of Authorised Dealers is invited to the instructions issued vide F.E. Circular Nos. 18, 19 and 21 dated the 5th July, 8th July and 27th September, 1999 respectively in terms of which the facility of foreign currency accounts as described in Chapter VI of the Manual and F.E. Circular No. 25 of 1998 was withdrawn in respect of Diplomatic Missions and International Organizations etc. Subsequently, some relaxations were made in connection with opening of special foreign currency account by them and withdrawal of foreign currency notes from such accounts.

The matter has since been reconsidered and it has been decied to withdraw all the restrictions imposed vide above mentioned F.E. Circulars. Consequently, the facility of opening and maintaining of foreign currency account by Diplomatic Missions, Diplomatic Officers, and Home Based Staff as also International Organizations and their expatriate employees under Para 1(a) Chapter VI and F.E. Circular No. 25 of 1998 is restored. Further, the restriction regarding sale and purchase of foreign exchange by them in the interbank market imposed vide the last sentence of Para 9 of F.E. Circular No. 17 of 1999 is also withdrawn.

3. All the amendments made in Chapter VI and XVI of the Foreign Exchange Manual, Seventh Edition, 1992 through the F.E. Circulars mentioned above also stand cancelled.