Why in news? The Reserve Bank of India (RBI) will soon allow banks to issue RuPay Prepaid Forex cards for use at ATMs, PoS machines and online merchants abroad.

Highlights:

• The launch is aligned with the vision to expand the reach and acceptance of RuPay cards globally.
• RuPay Debit, Credit, and Prepaid Cards will be enabled for issuance in foreign jurisdictions, can be used internationally, including in India.

How forex cards work?

• When prepaid forex card is opted, it need to loaded with one or multiple foreign currencies and use them interchangeably in different countries.

What are the benefits of loading ?

• Preloading a forex card locks in exchange rates and is one of the safest options to use abroad, they are protected from rate volatility and fluctuations.
• These cards also do not incur additional foreign exchange mark-up fees if it is used within the same currency jurisdiction for which it have loaded.
• This card helps in payment options for Indians travelling abroad have further expanded