RBI: Individuals Banned From FX Trade

Resident Indians are not allowed to trade in FX market as per the existing regulation, said the Reserve Bank of India.

Resident Indians are not allowed to trade in FX market as per the existing regulation, said the Reserve Bank of India (RBI), Economic Times reports. The regulations under Foreign Exchange Management Act (FEMA), 1999, do not allow residents to trade in FX in domestic or overseas markets. RBI also said that transfer of funds in any form towards overseas FX trading through electronic/Internet trading portals is not allowed under the FEMA. RBI warned investors against advertisements posted by certain electronic and Internet portals offering trading or investing in FX with guaranteed high returns as several people suffered in forge trade through Internet portals in the recent past.

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