The Reserve Bank of India (RBI) tweaked guidelines for banks on incremental capital and provisioning requirements in relation to unhedged foreign currency exposures, amid the weakness in the rupee vis-a-vis the US dollar. The rupee has depreciated about 10 per cent against the US dollar thus far in 2022, and as a result there has been greater scrutiny of firms’ unhedged exposure through borrowings in foreign … Continue reading RBI asks Banks to Set Aside Capital, Provisions for Unhedged FX Exposure