On December 09, 2025, the Reserve Bank of India (RBI) released a Draft Circular on Disclosure of Transaction Cost for Foreign Exchange Transactions on its website. Banks, market participants, and interested parties are invited to submit comments on the draft circular by January 09, 2026. Feedback should be sent to The Chief General Manager, Reserve Bank of India, Financial Markets Regulation Department, 9th Floor, Central Office Building, Shahid Bhagat Singh Marg, Fort, Mumbai - 400 001, or via email with the subject line "Feedback on Draft Circular on Disclosure of Transaction Cost for Foreign Exchange Transactions". This circular aims to enhance transparency in the foreign exchange market by mandating Authorised Dealers to provide details of transaction costs, including remittance fees, foreign exchange rates, and currency conversion charges, for foreign exchange cash, tom, and spot contracts offered to retail users. This follows the January 2024 mandate requiring dealers to provide mid-market mark/bid and ask prices for foreign exchange derivative and currency interest rate derivative contracts. The press release number is 2025-2026/1666. Brij Raj, Chief General Manager, is the contact person. The RBI website is www.rbi.org.in and helpdoc@rbi.org.in is the email. The phone number is 022 - 2266 0502.
Key Entities Referenced
Draft Circular on Disclosure of Transaction Cost for Foreign Exchange Transactions: Proposed circular by the Reserve Bank of India mandating transparency in foreign exchange transaction costs.
Reserve Bank of India: The central bank of India, responsible for releasing the draft circular.
Financial Markets Regulation Department: Department within the Reserve Bank of India involved in the draft circular.
Authorised Dealers: Entities mandated to provide details of transaction costs in the foreign exchange market.
Mumbai: Location of the Reserve Bank of India's central office.
प्रेस प्रकाशनी PRESS RELEASE
भारतीय ररज़र्व बैंक
RESERVE BANK OF INDIA
वेबसाइट
:
www.rbi.org.in/hindi
संचार वर्भाग, केंद्रीय कायाालय, शहीद भगत ससिंह मागा, फोटा, म िंबई - 400 001
Website : www.rbi.org.in Department of Communication, Central Office, Shahid Bhagat Singh Marg, Fort,
ई-मेल/email : helpdoc@rbi.org.in Mumbai - 400 001 फोन/Phone: 022 - 2266 0502
December 09, 2025
RBI releases Draft Circular on Disclosure of Transaction Cost for Foreign
Exchange Transactions
The Reserve Bank of India today placed on its website the Draft Circular on
Disclosure of Transaction Cost for Foreign Exchange Transactions. Comments on
the draft circular are invited from banks, market participants and other interested
parties by January 09, 2026.
Feedback on the draft circular may be forwarded to:
The Chief General Manager
Reserve Bank of India
Financial Markets Regulation Department
9th Floor, Central Office Building
Shahid Bhagat Singh Marg, Fort
Mumbai – 400 001
Or by email with subject line “Feedback on Draft Circular on Disclosure of
Transaction Cost for Foreign Exchange Transactions”.
Background and Objective
To enhance transparency in the foreign exchange market, in January 2024,
Authorised Dealers were mandated to provide the mid-market mark / bid and ask
price of the foreign exchange derivative contract / foreign currency interest rate
derivative contract before entering into the contract with a retail user and include the
same in the deal confirmation / term sheet. As a further step towards promoting
greater transparency in the foreign exchange market, it is proposed to mandate
Authorised Dealers to provide the details of transaction cost (remittance fees, foreign
exchange rate, currency conversion charges etc.), associated with foreign exchange
cash, foreign exchange tom and foreign exchange spot contracts offered to retail
users.
(Brij Raj)
Press Release: 2025-2026/1666 Chief General Manager