In a bid to stabilise the rupee that fell to a record
low on Wednesday,the Reserve Bank of India has decided to open a forex swap window to meet the daily dollar requirements of three state-run oil marketing companies.
Under the swap facility,the Reserve Bank will undertake sell/buy of the dollar-rupee forex swaps for a fixed tenure with the three companies Indian Oil Corp,Hindustan Petroleum and Bharat Petroleum through a designated bank,the RBI said on Wednesday. The swap facility takes immediate effect and will remain in place until further notice,it said.
PSU oil companies,the biggest buyers of dollars,require over $ 8 billion every month for the import of an average 7.5 million tonnes of crude oil. A forex swap is a simultaneous purchase and sale of identical amounts of one currency for another with two different value dates.