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FX Global Code

Reserve Bank of India (RBI) has signed its renewed Statement of Commitment (SoC) to the FX Global Code. 

What is FX Global Code?

  • FX Global Code is a set of global principles of good practice in the foreign exchange market.
  • The Code contains 55 principles that provide a common set of guidelines to promote the integrity and effective functioning of the wholesale foreign exchange market. The principles cover ethics, governance, execution, information sharing, risk management and compliance as well as confirmation and settlement.
  • The establishment of the Code was facilitated by the Foreign Exchange Working Group (FXWG), which operated under the auspices of the BIS Markets Committee.  The Code was developed by a partnership between central banks and market participants from around the globe and was first published in 2017.
  • The Code promotes a robust, fair, liquid, open, and appropriately transparent market in which a diverse set of market participants, supported by resilient infrastructure, are able to confidently and effectively transact at competitive prices that reflect available market information and in a manner that conforms to acceptable standards of behaviour.
  • The Code does not impose legal or regulatory obligations on market participants, nor does it substitute for regulation, but rather it is intended to serve as a supplement to any and all local laws, rules and regulations by identifying global good practices and processes.
  • Global Foreign Exchange Committee (GFXC) is entrusted with the promotion, maintenance and updating the Code. 
  • RBI is a member of the GFXC. RBI continues to support the principles of good practices within the Code. RBI had also facilitated the formation of India Foreign Exchange Committee (IFXC) to promote adoption and adherence of the Code among FX market participants in India. 


References

Global Foreign Exchange Committee. (n.d.). 'Establishment of the FX Global Code'. Retrieved from https://www.globalfxc.org/fx-global-code/establishment-of-the-fx-global-code/

Global Foreign Exchange Committee. (n.d.). 'Frequently Asked Questions'. Retrieved from https://www.globalfxc.org/frequently-asked-questions/

Global Foreign Exchange Committee. (n.d.). 'FX Global Code'. Retrieved from https://www.globalfxc.org/fx-global-code/

Reserve Bank of India. (2022, July 20). 'Reserve Bank of India renews its Statement of Commitment to the FX Global Code'. Retrieved from https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=54062

Reserve Bank of India. (2025, September 24). 'Reserve Bank renews its Statement of Commitment to the FX Global Code'. Retrieved from https://rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=61272


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