Tue Mar 18 14:05:00 UTC 2025: ## India and Mauritius Sign Pact to Boost Bilateral Trade with Local Currencies

**Mumbai, March 18, 2025** – The Reserve Bank of India (RBI) and the Bank of Mauritius (BOM) have signed a landmark agreement to promote the use of the Indian Rupee (INR) and the Mauritian Rupee (MUR) in cross-border transactions. The Memorandum of Understanding (MoU), signed by RBI Governor Sanjay Malhotra and BOM Governor Rama Krishna Sithanen G.C.S.K., was exchanged in Port Louis, Mauritius, on March 12th, in the presence of Prime Ministers Narendra Modi and Navinchandra Ramgoolam.

The MoU aims to facilitate the use of both currencies for all current account transactions and permissible capital account transactions, as mutually agreed upon. This framework will allow businesses to invoice and settle payments in their respective local currencies, fostering the development of an INR-MUR exchange market. The RBI highlights that this will optimize transaction costs and processing times.

This collaboration signifies a significant step in strengthening bilateral ties between India and Mauritius, promoting trade and deepening financial integration. The increased use of local currencies is expected to further strengthen the existing historical, cultural, and economic bonds between the two nations.

Read More