New Delhi, Aug. 13 -- The Reserve Bank of India (RBI) has permitted persons resident outside India holding Special Rupee Vostro Accounts (SRVAs) to invest their surplus rupee balances in central government securities, including treasury bills.

The RBI has also updated its Master Direction on Non-resident Investment in Debt Instruments to incorporate the operational guidelines for this measure.

SRVAs are special accounts maintained by foreign banks with Indian banks to facilitate the settlement of international trade transactions in Indian rupees, as part of India's push to promote the rupee as an international trade settlement currency. The mechanism was first introduced in July 2022, allowing trade settlements in INR with partner count...