---
title: "Special Rupee Vostro Accounts (SRVAs), JULY 17, 2026"
date: 2026-08-20
author: "King Stubb & Kasiva"
url: https://ksandk.com/newsletter/special-rupee-vostro-accounts/
---

# Special Rupee Vostro Accounts (SRVAs), JULY 17, 2026

Posted On - 20 August, 2026 • By - King Stubb & Kasiva

The Reserve Bank of India (“RBI”) issued a circular1 consolidating and rationalising the existing framework governing **Special Rupee Vostro Accounts (“SRVAs”)** used for settlement of cross-border transactions in Indian Rupees. The circular supersedes earlier instructions issued between 2022 and 2025.

## Scope of the Consolidated Framework

The circular brings the applicable provisions relating to the **opening, funding, utilisation, investment, documentation and reporting** of SRVAs into a single consolidated framework. It replaces all prior piecemeal instructions on the subject.

## Opening and Use of SRVAs

Under the revised framework, **Authorised Dealer Category-I (“AD Category-I”) banks** may open SRVAs with overseas branches of banks or with banks incorporated outside India without prior RBI approval.

### Permissible Transactions

SRVAs may be used for settlement of the following types of cross-border transactions:

- Cross-border **exports** in INR
- Cross-border **imports** in INR
- Other permissible current and capital account transactions under FEMA

### Funding Sources

The accounts may be funded through:

- Inward remittances
- Transfers from other **repatriable INR accounts**
- Proceeds of permissible FEMA transactions

## Additional Accounts and Investment of Balances

AD Category-I banks maintaining SRVAs may also open **additional current accounts** for exporters and importers for trade-settlement purposes.

Investment of SRVA balances in debt instruments will be subject to the applicable **RBI framework governing non-resident investment** in debt instruments.

## Key Takeaway

**The circular provides a single consolidated framework for SRVAs**, improving clarity for AD Category-I banks and overseas banking partners undertaking INR-based cross-border transactions.

*Last Updated on 21 August, 2026*

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