The Reserve Bank of India has constituted a task force on offshore rupee markets to look into issues related to  the markets and recommend appropriate policy measures to ensure the stability of the external value of the rupee."Offshore"  refers   to   a   location   outside   of   one's   national boundaries, whether or not that location is land- or water-based. Hence, Offshore Rupee market is a rupee denominated market in international market.The panel will study the causes behind the development of the offshore rupee market and examine the effects of the offshore markets on the rupee exchange rate and market liquidity in the domestic market.The panel will recommend measures to generate incentives for non-residents to access the domestic market and examine the role if any, International Financial Services Centres (IFSCs) can play in addressing these concerns.