New Delhi: Advisers and service providers have urged the government to enable direct foreign exchange transactions within the country through the RBI, bypassing the existing practice of routing transactions through the US banking system.
KK Kapila, president of Intercontinental Consultants and Technocrats (ICT), said that currently, domestic transactions in US dollars between entities within India also require routing through the US banking system, leading to transaction fees.
Indian Road Federation (IRF) chief Kapila said, "This practice results in substantial funds being drained from our economy in the form of fees paid to US banks."
He emphasized that it is illogical that internal foreign exchange transactions within India require routing through the US, resulting in unnecessary costs to our businesses and economy.
According to Kapila, advisors and service providers stressed the need for a streamlined approach where transactions involving foreign currencies like the US dollar are facilitated directly through the RBI.
KK Kapila, president of Intercontinental Consultants and Technocrats (ICT), said that currently, domestic transactions in US dollars between entities within India also require routing through the US banking system, leading to transaction fees.
Indian Road Federation (IRF) chief Kapila said, "This practice results in substantial funds being drained from our economy in the form of fees paid to US banks."
He emphasized that it is illogical that internal foreign exchange transactions within India require routing through the US, resulting in unnecessary costs to our businesses and economy.
According to Kapila, advisors and service providers stressed the need for a streamlined approach where transactions involving foreign currencies like the US dollar are facilitated directly through the RBI.
