FEDAI Orders Banks to Avoid Middlemen in Forex Conversion
The Foreign Exchange Dealers' Association of India (FEDAI) has instructed banks not to convert foreign currency remittances into rupees without explicit instructions from the sender or beneficiary. This directive aims to prevent intermediary banks from applying unfavorable exchange rates, which reduce payments to small exporters and individuals. Banks must also ensure transparency in forex service charges and disclose currency conversion rates on their websites.
Economic Times·



