All
Authorised Dealers
in Foreign Exchange,
Dear
Sirs,
PAYMENT
UNDER ACU ARRANGEMENT
BETWEEN INDIA – PAKISTAN.
As you are aware,
routing of transactions with member countries through ACU
Arrangement was temporarily suspended by India because of
adoption of dual exchange rate structure and the Indian
exporters were given the option of receiving the proceeds
of goods exported by them outside the ACU Arrangement. State
Bank was accordingly considering the requests from the Pakistani
importers for opening letters of credit outside the above
Arrangement on case to case basis.
2. Effective 1st
March, 1993 the Indian Rupee has been made fully convertible
and the dual exchange rate structure has been abolished.
Consequently, Reserve Bank of India has reintroduced the
payment arrangement under the ACU mechanism. In view of
the power of foregoing, the requests for opening of letters
of credit for import from India outside ACU mechanism will
not be entertained by us and all payments will compulsorily
be required to be made under the ACU arrangement.