RBI in the recent past has been expanding the suite of interest rate derivative products available to market participants to manage interest rate risks. Forward Contracts on G-Secs has been introduced to enable market participants, especially long-term investors, to manage their cash flows and interest rate risk.
RBI has issued Forward Contracts in Government Securities Directions, 2025, effective 2nd May 2025.
Consequential changes have been made to the Market Maker Directions and Margin Norms to include the same.
For further details, please see:
https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12784&Mode=0
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