Glossary / Also known as

Foreign currency correspondent account

Another name for Nostro Account.

Other names

What does foreign currency correspondent account mean?

Foreign currency correspondent account is another name for Nostro Account. An Indian bank's foreign currency account held abroad - the hidden infrastructure behind every cross-border payment.

The two names mean the same thing. You will see "foreign currency correspondent account" in some ledgers, reports and contracts and "Nostro Account" in others. The full entry covers how it works, with examples.

Read the full definition of Nostro Account

Topics

From the glossary

Related terms.

Payments and banking Nostro Account An Indian bank's foreign currency account held abroad - the hidden infrastructure behind every cross-border payment. Also called nostro, foreign currency correspondent account Payments and banking SWIFT Code The 8 or 11-character address that tells the global banking network exactly which bank and branch to route your international payment to. Also called BIC code, SWIFT BIC, bank identifier code Payments and banking Remittance Money sent across borders - whether it's an NRI supporting family, a business paying an overseas supplier, or a student's tuition transfer. Also called outward remittance, inward remittance, foreign remittance Trade and foreign exchange Letter of Credit (LC) A bank-backed guarantee that a seller will get paid - the backbone of international trade when buyer and seller don't know each other. Also called documentary credit, L/C Trade and foreign exchange FEMA (Foreign Exchange Management Act) India's primary legislation governing foreign exchange transactions, cross-border investments, and external trade payments. Also called FEMA 1999, foreign exchange regulations Trade and foreign exchange Legal Entity Identifier (LEI) A unique 20-character alphanumeric code that identifies legal entities participating in financial transactions globally. Also called LEI code, LEI number

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