ACU Dollars Accounts

 

AP (DIR Series) (2000-2001) Circular No. 25, dated 17-2-2001

Authorised dealers’ funding of their ACU dollar accounts with commercial banks in participating countries as well as for repatriation of excess liquidity on ‘Tom’ basis in addition to ‘Spot’ basis

In terms of paragraph 12(ii) of Memorandum ACM, requests from authorised dealers for funding of their ACU dollar accounts with commercial banks in participating countries on ‘Spot’ basis are required to be made in Form ACU-1, in duplicate, to the Department of External Investments and Operations (DEIO), Reserve Bank of India, Mumbai.

2.         It has now been decided that requests from authorised dealers for funding their ACU dollar accounts with commercial banks in participating countries as well as for repatriation of the excess liquidity in the ACU dollar accounts of their correspondent banks maintained with them, would be accepted in ACU 1 and ACU 2 format respectively, by DEIO, RBI, Mumbai on ‘Tom’ basis also, in addition to ‘Spot’ basis, with effect from March 1, 2001. Authorised Dealers desirous of availing the facility of booking transactions on ‘Tom’ basis, should submit their applications to DEIO, RBI, Mumbai before 3 p.m. a day prior to Value Date.

3.         Consequent to the change mentioned above. Form ACU 1 may be replaced by the enclosed Slip.

4.         The directions contained in this circular have been issued under section 10(4) and section 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999). Any contravention or non-observance of these directions is subject to the penalties prescribed under the Act.