RBI permitted Reinsurance Brokers to open Foreign Currency Accounts
Reinsurance brokers have been permitted to open non-interest bearing foreign currency accounts with banks for undertaking transactions.
Foreign currency account refers to a bank account held or maintained in currency other than the currency of India or Nepal or Bhutan.
Earlier, the Insurance Regulatory and Development Authority of India(IRDAI) had issued notification and then RBI issued Foreign Exchange Management (Foreign Currency Accounts by a person resident in India) Regulations, 2015 – Opening of Foreign Currency Accounts by Re-insurance and Composite Insurance brokers.
About Insurance Regulatory and Development Authority of India (IRDA):
♦ It is tasked with regulating and promoting the insurance and re-insurance industries in India.
♦ Founded: 1999
♦ Headquarters: Hyderabad
♦ Chairperson: Subhash Chandra Khuntia