RBI Mandates Reporting of INR Forex Derivatives by Related Parties

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  • Last Updated on 29 April, 2026

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RBI INR derivative related party reporting

Press Release: 2026-2027/152, Dated 27.04.2026

The Reserve Bank of India (RBI) has issued final directions on reporting instructions for Authorised Dealer (AD) Category-I banks, after considering stakeholder feedback on the draft dated February 16, 2026.

1. Objective of the Directions

The framework aims to:

  • Enhance transparency in the foreign exchange (forex) derivatives market
  • Strengthen regulatory oversight and data visibility
  • Enable better risk monitoring across group structures

2. Mandatory Reporting to CCIL

AD Category-I banks are required to report INR foreign exchange derivative transactions to clearing Corporation of India Ltd. trade repository

3. Scope of Reporting

  • Covers INR-based FX derivative transactions
  • Includes transactions:
    1. Undertaken globally
    2. By related parties of the bank

4. Focus on Group-Level Transparency

The inclusion of related party transactions across jurisdictions ensures:

  • A holistic view of exposures
  • Better identification of systemic and concentration risks

5. Regulatory Impact

The directions are expected to:

  • Improve data aggregation and market intelligence
  • Strengthen risk management frameworks
  • Align with global practices on trade repository reporting

6. Conclusion

The final directions mark a significant step towards centralised reporting and enhanced transparency in the forex derivatives market, ensuring that RBI has comprehensive visibility over INR-linked exposures across global operations.

Click Here To Read The Full Press Release

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Author: Taxmann

Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.

The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:

  • The statutory material is obtained only from the authorized and reliable sources
  • All the latest developments in the judicial and legislative fields are covered
  • Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
  • Every content published by Taxmann is complete, accurate and lucid
  • All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
  • The golden rules of grammar, style and consistency are thoroughly followed
  • Font and size that's easy to read and remain consistent across all imprint and digital publications are applied