RBI releases draft Directions on Reporting Instructions for Authorised Dealer Category

New Delhi: The Reserve Bank of India has released the draft Directions on Reporting Instructions for Authorised Dealer Category – I Banks. The comments on the draft directions are invited from market participants, stakeholders and other interested parties by March 09, 2026.

Through this, Authorised Dealer Category-I (AD Cat-I) banks are required to report all over-the-counter (OTC) foreign exchange derivative contracts and foreign currency interest rate derivative contracts, undertaken by them directly or through their overseas entities to the Trade Repository (TR) of Clearing Corporation of India Ltd. (CCIL).

Further, the market-makers in the Rupee Interest Rate Derivative (IRD) market are required to report all OTC IRD transactions undertaken by them directly or through their overseas entities as well as all Rupee IRD transactions undertaken globally by their related parties to the TR of CCIL.

The Reserve Bank has been taking several measures to enhance transparency in the markets for over the counter (OTC) foreign exchange, interest rate and credit derivatives. As part of these measures, all transactions in OTC derivatives are reported to the trade repository (TR) of the Clearing Corporation of India Limited (CCIL) by market-makers.

There is, however, an element of non-transparency because the sizeable number of offshore Rupee derivative transactions are not reported and therefore, not available to market participants. This shortcoming was partly addressed when standalone primary dealers were required to report all Rupee derivative transactions undertaken globally by their related parties in October 2022.

Further, banks in India were required to report all Rupee interest rate derivative transactions undertaken globally by their related parties in December 2025. Carrying this process of enhancing transparency of Rupee derivative markets, it is now proposed that all Authorised Dealer Category – I banks shall report foreign exchange derivative transactions involving INR undertaken by their related parties globally. The resultant transparency shall enable better pricing decisions by market participants. Draft Directions for the same are being issued for soliciting public feedback.