What changed
The Rupee value of the special currency basket under the Deferred Payment Protocols dated April 30, 1981 and December 23, 1985 between India and the erstwhile USSR was revised from Rs.66.9682 (effective August 23, 2011) to Rs.69.09329 effective September 20, 2011. This revision was communicated via A.P. (DIR Series) Circular No. 39 dated November 01, 2011.
What it means for you
Banks handling transactions under these protocols must apply the new basket value for all settlements from September 20, 2011. The change reflects currency fluctuations and impacts the Rupee equivalent of payments due under the bilateral agreements. AD Category-I banks need to ensure accurate conversion and compliance.
What you must do
- Update internal systems and records with the new Rupee value of Rs.69.09329 for the special currency basket effective September 20, 2011.
- Inform all concerned constituents, including corporate clients and branches, about the revised value.
- Ensure all transactions under the Deferred Payment Protocols from September 20, 2011 use the updated rate.
- Maintain documentation to demonstrate compliance with FEMA sections 10(4) and 11(1) as referenced in the circular.
Who it affects
AD Category-I banks, Corporate clients with exposure to India-USSR deferred payment agreements, Treasury and forex operations teams
What is the effective date for the new Rupee value of the special currency basket?
The revised Rupee value of Rs.69.09329 is effective from September 20, 2011.
Which circular supersedes the previous value?
This circular (A.P. DIR Series Circular No. 39) updates the value from the earlier Rs.66.9682 set in Circular No. 10 dated September 07, 2011.