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  • India, Malaysia Can Now Trade In Indian Rupee

    By NE Reporter on April 1, 2023

    NEW DELHI:
    India and Malaysia can now use the Indian rupee to settle trade in addition to other currencies, the Ministry of External Affairs (MEA) said on Saturday.

    The move follows the decision by the Reserve Bank of India in July last year to allow the settlement of international trade in Indian currency.

    “Trade between India and Malaysia can now be settled in Indian Rupee (INR) in addition to the current modes of settlement in other currencies,” the MEA said.

    “This follows the decision by the Reserve Bank of India in July 2022 to allow settlement of international trade in Indian Rupee,” it said in a statement.

    The MEA said the RBI’s initiative is aimed at facilitating the growth of trade and supporting the interests of the global trading community in the Indian rupee.

    “India International Bank of Malaysia (IIBM), based in Kuala Lumpur, has operationalised this mechanism by opening a special Rupee Vostro account through its corresponding bank in India that is Union Bank of India,” it said.

    Vostro accounts are used to make payments in domestic currency.

    Iscea

    NE Reporter

    IndiaIndian RupeeMalaysiaMinistry of External AffairsReserve Bank of India

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