Rbi Requires A ‘legal Entity Identifier” For All Cross-border Transactions Exceeding Rs 50 Cr

RBI requires a ‘Legal Entity Identifier” for all cross-border transactions exceeding Rs 50 Cr

New Delhi, December 10, 2010 : .The Reserve Bank of India made Friday the ‘Legal Entity Identifier mandatory for cross-border capital and current account transactions of Rs 50 crore or more.

 Rbi Requires A ‘legal Entity Identifier” For All Cross-border Transa-TeluguStop.com

The LEI is a 20-digit number used to uniquely identify parties to financial transactions worldwide to improve the quality and accuracy of financial data systems.

The identifier norm has been introduced in a phased manner for participants in the over the counter (OTC) derivative, non-derivative markets, large corporate borrowers, and large value transactions in centralised payment systems.

Banks will need to get the “LEI” number (non-individuals), from resident entities starting October 1, 2022 if they are going to conduct capital and current account transactions.

For LEI holders, it would be mandatory to furnish the number in all transactions irrespective of the transaction size.

“Once an entity has obtained an LEI number, it must be reported in all transactions of that entity, irrespective of transaction size,” the central bank said in a circular.


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