The Reserve Bank of India (RBI) on March 17, 2025, notified regarding the Asian Clearing Union (ACU) Mechanism – Indo-Maldives trade.
It is stated that in November 2024, the RBI and the Maldives Monetary Authority signed a Memorandum of Understanding (MoU) to promote the use of local currencies—Indian Rupee (INR) and Maldivian Rufiyaa (MVR)—for bilateral transactions. As a result, India and Maldives can now settle bilateral trade transactions in INR and/or MVR, in addition to the existing ACU mechanism. This change is effective immediately, and AD Category-I banks are instructed to inform their constituents about the update.
[Notification No. RBI/2024-2025/125 A.P. (DIR Series) Circular No. 22]
