Experts urge India to allow foreign currency transactions via RBI

Image Credit: Indian Express

Consultants and service providers are calling on the Indian government to allow foreign currency transactions within the country through the Reserve Bank of India (RBI). Currently, such transactions can only be conducted through international banks, which is costly and time-consuming.

The move would be beneficial for businesses engaged in international trade, as they could save on foreign exchange conversion charges and avoid delays. It would also make it easier for tourists and foreign visitors to transact in their home currencies while in India.

Experts say that allowing foreign currency transactions in India would help to boost the economy and attract more foreign investment. It would also make the country more competitive in the global market by providing a more seamless experience for international businesses.

However, some are concerned about the potential impact on the Indian rupee, which could be devalued if more foreign currencies are allowed to circulate within the country. To address this concern, the RBI would need to carefully manage the flow of foreign currency to maintain the stability of the rupee.

RE-reported from the story originally published in Indian Express