RBI eases Forex Hedging Contract Norms

Reserve Bank of India today relaxed the norms for Forex hedging for exporters and importers by allowing them to book forward foreign exchange contracts in excess of 50 per cent of the eligible limit. However, approval is subject to some conditions including a declaration that all guidelines have been adhered to while utilising the facility. Besides, a certificate of import or export turnover of the customer during the past three years have to be attached.