Attention of Authorized Dealers is drawn to the instructions
contained in para 1 of FE Circular No. 16 dated November
01, 2004 relating to the Cut-off timings for FX dealing
by Banks’ Treasuries.
In
order to facilitate Authorized Dealers (ADs) to better
manage their cash flows, it has now been decided to
extend the cut-off time for Foreign Exchange Swaps in
the interbank market upto 4:30 pm Monday through Friday
and upto 1:00 pm on Saturday. The extended timings will
be applicable only for normal interbank Foreign Exchange
Swaps involving two simultaneous transactions with the
same AD and exclude any structured Foreign Exchange
Swaps i.e. two outright transactions with different
ADs.
The
above instructions shall come into effect from January
02, 2006. Besides the above, other contents of the aforementioned
FE Circular No. 16 dated November 01, 2004 remain unchanged
and should continue to be followed meticulously.