The Reserve Bank of India (RBI) has launched a special facility to supply US dollars to three state-run oil marketing companies starting October 12, 2026. Indian Oil Corporation Ltd, Hindustan Petroleum Corporation Ltd, and Bharat Petroleum Corporation Ltd will be able to meet their entire daily dollar requirements for crude oil purchases through this window, the RBI announced on October 10, 2026.
Under this facility, the RBI will sell US dollars to the three public sector oil companies via designated banks. The move aims to support the Indian rupee amid rising crude oil prices by ensuring these companies have access to the foreign currency needed for imports. The facility will remain in place until further notice, according to the RBI statement reported by livemint.com.
This step is significant as the three oil marketing companies are major importers of crude oil, and their dollar demand can impact the rupee's exchange rate. By providing a dedicated dollar window, the RBI intends to stabilize the rupee and manage volatility caused by external factors such as global oil price fluctuations. Analysts like Sandeep Pandey of Basav Capital have highlighted the importance of such measures in containing the rupee's depreciation.
The special dollar window facility will be effective from October 12, 2026, and will continue until the RBI decides otherwise, marking a targeted intervention to support the currency during a period of elevated crude oil prices.