Why? Because the rupee is under pressure (96.71/USD), and oil imports are sucking up too many dollars from the open market. This move pulls their daily demand out of the regular forex system, aiming to ease volatility. But here’s the twist: RBI also tightened hedging rules; lower limits for unhedged exposure ($5M vs $100M), no rebooking cancelled contracts, and a new 20% cash reserve for big derivative deals. In plain terms: it’s harder and costlier to play forex games now. Big importers? You’ll need proof of real exposure. Banks? You’ll tie up cash with RBI. The goal? Market discipline; not magic rupee revival. Oil companies get stable dollars; everyone else faces tighter rules. A quiet move, but a loud message: the forex market is getting serious.