New Student User - Use Code HELLO

Register Now

RBI Granted AD Category-I Licence to AU SFB, Equitas SFB

Published on April 21, 2023
Current Context: The Reserve Bank of India (RBI) has granted an Authorised Dealer (AD) category-I licence to AU Small Finance Bank (SFB) and Equitas Small Finance Bank under Section 10 of FEMA (Foreign Exchange Management Act), 1999 to deal in foreign exchange for specified purposes.
RBI Granted AD Category-I Licence to AU SFB, Equitas SFB
  • This licence will enable these banks to offer foreign exchange facilities to non-resident Indians (NRIs) and ease their banking transactions.
  • An Authorised Dealer (AD) category-I licence is a licence granted by the Reserve Bank of India (RBI) to banks that allows them to buy and sell foreign exchange for specified purposes like: foreign travel, education abroad, remittances, trade transactions, foreign investments, and other current account transactions.
  • The RBI has recently announced that all scheduled small finance banks (SFBs) will be eligible for AD category-I licence after completion of at least two years of operations as AD category-II3. This will give more flexibility to SFBs to meet their customers’ foreign exchange business requirement.


Q.1 Which two small finance banks have recently received the AD category-I licence from RBI?
a. Ujjivan SFB and Jana SFB
b. AU SFB and Equitas SFB
c. Capital SFB and Fincare SFB
d. ESAF SFB and Utkarsh SFB

Can I help you?

ramandeep singh

Hey I am Ramandeep Singh. I am determined to help students preparing for RBI, SEBI, NABARD and IBPS exams. Do you want me to help you ?

Join my class here
    Follow me:
Close Menu
Close Menu