The Reserve Bank of India (RBI) has announced a special foreign exchange facility to meet the entire daily US dollar requirements of three state-owned oil marketing companies: Indian Oil Corporation Limited (IOCL), Hindustan Petroleum Corporation Limited (HPCL) and Bharat Petroleum Corporation Limited (BPCL).
Under the arrangement, the RBI will sell US dollars to the three companies through designated banks to fulfil their foreign exchange requirements. The facility will come into effect on October 12, 2026, and remain operational until further notice.
According to the RBI, the decision follows an assessment of prevailing market conditions and is intended to facilitate the foreign exchange needs of the three public sector oil marketing companies. The measure provides a dedicated channel for meeting their daily dollar requirements, which are essential for their international transactions, including payments related to crude oil imports.
The facility is expected to help the companies manage their foreign currency requirements through the RBI’s designated banking mechanism. Further details regarding the arrangement will depend on subsequent instructions issued by the central bank.
Source: Reserve Bank of India (RBI) press release.
