The Reserve Bank of India has released draft directions on revised instructions concerning Net Open Position for regulated entities, seeking stakeholder input.
Revised Net Open Position Instructions Direction
The Reserve Bank of India has issued draft directions to revise the instructions related to Net Open Position (NOP) and capital charge for foreign exchange risk. These revisions are open for comments from regulated entities.
The amendment aims to enhance clarity and ensure robust risk management practices in the foreign exchange market. The proposed changes include eliminating the separate calculation for offshore and onshore NOP.
Legal and compliance teams within financial institutions should assess these directions carefully to prepare for potential regulatory changes that could impact forex trading operations.
Citations
- Net Open Position Instructions (2026) RBI Press Release
