ECONOMICS
FINANCIAL MARKETS
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
Importer need to convert his local currency to other country currency
|
|
|
Exporter need to convert other country currency to his own local currency
|
|
|
Exporter received payment from importer in his own local currency
|
|
|
Importer need to convert his local currency to USD in the first place
|
Detailed explanation-1: -Under a third-party export, the foreign inward remittance from the customer is received by the third-party exporter. The inward remittance is received in foreign currency. However, the settlement between the third-party exporter and the manufacturer exporter is made in Indian rupees.
Detailed explanation-2: -Realization of export proceeds in respect of export of goods / software from third party should be duly declared by the exporter in the appropriate declaration form.
Detailed explanation-3: -Third Party Payments. FX Third Party Payments are payments or wire transfers whereby the final Beneficiary is external to the underlying client involved in the FX transaction. There are limited circumstances in which it may be necessary to facilitate third party payments/transfers in.
Detailed explanation-4: -Issuing of coins is not a function of the Central Bank.