Reserve Bank of India Opens Special Dollar Window for Oil Firms

The Reserve Bank of India established a special foreign exchange window to fulfill the total daily US dollar requirements of three state-run oil marketing companies: Indian Oil Corporation Limited, Bharat Petroleum Corporation Limited, and Hindustan Petroleum Corporation Limited.

Effective October 12, 2026, the facility allows the central bank to sell US dollars to these refiners through designated authorized dealer banks. This mechanism replaces the need for the companies to engage in direct open-market bidding. The central bank initiated the measure following an internal assessment of prevailing currency and financial market conditions.

The arrangement will remain in place until further notice. The Reserve Bank of India has not disclosed specific transaction limits or the total volume of foreign currency it intends to supply through this window.