Fema / RBI : The article explains how the RBI's Sixth Amendment widens SNRR account usage through IFSC branches while clarifying that it does n...
Fema / RBI : RBI has issued FAQs explaining how banks should implement swap facilities for FCNR(B) deposits, ECBs, and OFCBs. The clarification...
Fema / RBI : The article explains RBI’s decision to reduce the export proceeds realization period from 15 months to 9 months and its impact o...
Fema / RBI : The 2026 FEMA amendment removes uncertainty surrounding INR borrowings by resident individuals from NRIs and OCI relatives. The RB...
Fema / RBI : The issue concerns alternative settlement mechanisms for international trade. The framework allows INR-based transactions with fle...
Fema / RBI : BCAS submits comments on RBI’s draft External Commercial Borrowings (ECB) regulations, seeking clarity on eligibility, KYC norms...
Fema / RBI : Explore the latest Foreign Direct Investment (FDI) policy amendments in Indias space sector. Understand the changes in caps, entry...
Corporate Law : In terms of instructions issued vide A.P. (Dir Series) circular No.45 dated September 16, 2013, the Reserve Bank of India had faci...
Fema / RBI : On a review of the conditions in the global financial markets, it has been decided to continue with the enhanced all-in-cost ceili...
Corporate Law : As per the extant ECB procedures, requests for reduction in the amount of ECB, changes in the drawdown schedule and reduction in t...
Fema / RBI : Directorate of Enforcement Vs. Subhash Muljimal Gandhi ( Delhi HC)- that interest at the rate of 6% per annum under Rule 8 could ...
Fema / RBI : Ketan V. Parekh Vs. Special Director, Directorate of Enforcement and another (Supreme Court)- Ketan Parikh, Kartik Parikh and M/s....
Fema / RBI : Binod Kumar Versus State of Jharkhand & Others- In the impugned judgment, it is mentioned that the basic allegation is amassing of...
Fema / RBI : Foreign exchange --Contravention of provisions of Act--Liable to prosecution as well as penalty by adjudicating officer--Proceedin...
Fema / RBI : The relief sought for by the petitioner seeking permission to be accompanied by an advocate of his choice when he appears before t...
Fema / RBI : The RBI has withdrawn non-operative FEMA circulars after reviewing directives issued since June 2000. The ruling helps Authorised ...
Fema / RBI : RBI has rationalised FEMA reporting by introducing revised return formats, discontinuing several reports, and easing compliance re...
Fema / RBI : RBI has allowed Authorised Dealer Category-I banks to exclude hedged positions arising from FCNR(B) deposits, ECBs, and OFCBs whil...
Fema / RBI : The RBI has directed all AD Category-I banks to submit daily data on FCNR(B) deposits, ECBs, and OFCBs mobilized under its swap fa...
Fema / RBI : RBI's Sixth Amendment to the FEMA Deposit Regulations broadens the scope of SNRR accounts by permitting IFSC branches to maintain ...
Based on various queries received from Authorised Dealers, it is clarified that the conversion of the EEFC balances into rupee balances will only be applicable to available balances in the EEFC account which may be arrived at by netting off earmarked amounts on account of outstanding forward / option contracts booked before May 10, 2012.
It is clarified that the activity ‘leasing and finance’, which is one among the eighteen NBFC activities wherein FDI up to 100 per cent is permitted under the automatic route, subject to minimum capitalisation norms, covers only ‘financial leases’ and not ‘operating leases’, in so far as the NBFC sector is concerned.
Export-Import Bank of India (Exim Bank) has concluded an Agreement dated September 1, 2011 with the Government of the Republic of Mozambique, making available to the latter, a Line of Credit (LOC) of USD 13 million (USD thirteen million) for the purpose of financing of Solar Photo Voltaic Module Manufacturing plant in Mozambique. The goods, machinery, equipment and services including consultancy services from India for exports under this Agreement are those which are eligible for export under the Foreign Trade Policy of the Government of India and whose purchase may be agreed to be financed by the Exim Bank under this Agreement.
On a review of the Scheme, it has been decided as under :- a) 50% of the balances in the EEFC accounts should be converted forthwith into rupee balances and credited to the rupee accounts as per the directions of the account holder. This process may be completed within a fortnight from the date of the circular and compliance reported to the Chief General Manager, Foreign Exchange Department, Central Office, Trade Division, Amar Building, Sir P.M. Road, Fort, Mumbai 400 001
On a review it has been decided to fix the intra-day open position / daylight limit of the Authorised Dealers at five times the Net Overnight Open Position Limit available to them or the existing Intra-day open position limit as approved by the Reserve Bank, whichever is higher, for positions involving Rupee as one of the currencies.
Funds representing deposit liabilities may be utilised for making loans to resident constituents for meeting – their foreign exchange requirements or for the rupee working capital/capital expenditure needs of exporters /corporates who have a natural hedge or a risk management policy for managing the exchange risk subject to the prudential/interest-rate norms, credit discipline and credit monitoring guidelines in force. Authorised dealers may be guided accordingly.
The extant policy for foreign investment in commodity exchanges, has since been reviewed and it has been decided that prior approval of the Government (FIPB) would be required only for FDI component and Government approval would not be required for investment by registered FIIs in commodity exchanges. All other conditions contained in A.P (DIR Series) Circular No.41 dated April 28, 2008 shall remain unchanged.
Attention of Authorised Dealers Category – I (AD Category – I) banks is invited to the A.P. (DIR Series) Circular No. 74 dated June 30, 2011, and A.P. (DIR Series) Circular No. 55 dated December 09, 2011, on issue of equity shares/ preference shares under the Government route by conversion of import of capital goods / machineries / equipments (including second-hand machineries) and pre-operative / pre-incorporation expenses (including payments of rent, etc.), subject to the terms and conditions stated therein.
With a view to further liberalizing the documentation requirements, the limit for foreign exchange remittance for miscellaneous purposes without documentation formalities, has been raised from USD 5000 to USD 25000 with immediate effect.
On a review, it has been decided that henceforth NRI as defined in Foreign Exchange Management (Deposit) Regulations, 2000 contained in Notification No. FEMA.5/2000-RB dated 3rd May 2000, as amended from time to time, shall be eligible to transfer funds from NRO account to NRE account within the overall ceiling of USD one million per financial year subject to payment of tax, as applicable (i.e. as applicable if funds were remitted abroad). Such credit of funds to NRE account shall be treated as eligible credit in terms of paragraph 3(j) of Schedule-1 of Notification No. FEMA.5/2000-RB dated 3rd May 2000.
