Blog Archives

Import of Gold by Nominated Banks /Agencies

RBI/2012-13/557 A.P. (DIR Series) Circular No. 122 June 27, 2013 To All Scheduled Commercial Banks which are Authorised Dealers (ADs) in Foreign Exchange/ All agencies nominated for import of gold Madam/Sir Import of Gold by Nominated Banks /Agencies Attention of Authorised Persons is drawn to our A.P. (DIR Series) Circular No. 103 dated May 13, 2013 & A.P. [...]

The post Import of Gold by Nominated Banks /Agencies appeared first on Corporate Law Reporter.

RBI Notification on Risk Management and Inter Bank Dealings

RBI//2012-13/554 A.P. (DIR Series) Circular No.121 June 26, 2013 To All Authorised Dealer Category – I Banks Madam / Sir, Risk Management and Inter Bank Dealings Attention of Authorized Dealers Category – I (AD Category – I) banks is invited to section C of the Annex to A.P.(DIR Series) Circular No. 32 dated December 28, 2010  [...]

The post RBI Notification on Risk Management and Inter Bank Dealings appeared first on Corporate Law Reporter.

RBI includes Import of Services, Technical know-how and License Fees within the ECB Policy

RBI/2012-13/552 A.P. (DIR Series) Circular No.119 June 26, 2013 To All Authorised Dealer Category – I Banks Madam / Sir, External Commercial Borrowings (ECB) Policy – Import of Services, Technical know-how and License Fees Attention of Authorized Dealer Category-I (AD Category-I) banks is invited to the Foreign Exchange Management (Borrowing or Lending in Foreign Exchange) [...]

The post RBI includes Import of Services, Technical know-how and License Fees within the ECB Policy appeared first on Corporate Law Reporter.

RBI Notification on Project and Services Export

RBI/2012-13/548 A.P. (DIR Series) Circular No.118 June 26, 2013 To All Authorised Dealer Category – I Banks Madam / Sir, Export of Goods and Services – Project Exports Attention of Authorized Dealers is invited to Para B.7 (i) and C.5 (i) of Memorandum of Instructions on Project and Service Exports (PEM), enclosed to A.P.(DIR Series) Circular [...]

The post RBI Notification on Project and Services Export appeared first on Corporate Law Reporter.

Buyback / prepayment of Foreign Currency Convertible Bonds (FCCBs)

RBI/2012-13/544 A.P. (DIR Series) Circular No. 115 June 25, 2013 To, All Authorized Dealer Category – I Banks Madam / Sir Buyback / prepayment of Foreign Currency Convertible Bonds (FCCBs) Attention of Authorized Dealer Category-I (AD Category-I) banks is invited to A.P. (DIR Series) Circular No. 39 dated December 08, 2008, A.P. (DIR Series) Circular No. 75 [...]

The post Buyback / prepayment of Foreign Currency Convertible Bonds (FCCBs) appeared first on Corporate Law Reporter.

Deferred Payment Protocols dated April 30, 1981 and December 23, 1985 between Government of India and erstwhile USSR

RBI/2012-13/537 A.P. (DIR Series) Circular No. 112 June 20, 2013 To All Category – I Authorised Dealer Banks Madam / Sir, Deferred Payment Protocols dated April 30, 1981 and December 23, 1985 between Government of India and erstwhile USSR Attention of Authorised Dealer Category-I (AD Category-I) banks is invited to A.P. (DIR Series) Circular No.95 dated [...]

The post Deferred Payment Protocols dated April 30, 1981 and December 23, 1985 between Government of India and erstwhile USSR appeared first on Corporate Law Reporter.

External Commercial Borrowings (ECB) – Reporting arrangements

RBI/2013-14/495
A. P. (DIR Series) Circular No. 105

February 17, 2014

To
All Category-I Authorised Dealer Banks

Madam / Sir,

External Commercial Borrowings (ECB) – Reporting arrangements

Attention of Authorized Dealer Category-I (AD Category-I) banks is invited to the Foreign Exchange Management (Borrowing or Lending in Foreign Exchange) Regulations, 2000, notified vide Notification No. FEMA 3/2000-RB dated May 3, 2000, as amended from time to time and A.P. (DIR Series) Circular No.60 dated January 31, 2004 relating to reporting arrangements for ECB.

2. In order to capture details of the financial hedges contracted by corporates, of their foreign currency exposure relating to ECB and their foreign currency earnings and expenditure, the format of ECB-2 Return has been modified (Part-E) and the same has been given in the Annex. The reporting in the modified ECB-2 Return will be applicable from the return of the month April 2014 onwards.

3. There is no change in the reporting procedure and corporates raising ECB continue to submit ECB-2 Return on a monthly basis duly certified by the designated AD Category-I bank so as to reach Department of Statistics and Information Management (DSIM) of Reserve Bank of India within seven working days from the close of month to which it relates.

4. AD Category – I banks may bring the contents of this circular to the notice of their constituents and customers.

5. The directions contained in this circular has been issued under sections 10(4) and 11(2) of the Foreign Exchange Management Act, 1999 (42 of 1999) and are without prejudice to permissions / approvals, if any, required under any other law.

Yours faithfully,

(Rudra Narayan Kar)

Chief General Manager-in-Charge

 

Foreign Exchange Management Act – Emerging Issues and Recent Developments – VCCircle

Foreign Exchange Management Act -  Emerging Issues and Recent Developments

India is one of the largest FDI destinations in the world with the relaxation of foreign exchange restrictions, there has been a significant flow of investments into India. At the same time, Indian businesses have been making investments and acquisitions overseas. With the inbound and outbound investments rising, it is essential to understand the rules, regulations and policies that govern such capital inflows and outflows. All transactions involving foreign exchange fall under preview of Foreign Exchange Management Act (FEMA) read with FDI policy.

VCCircle Training is organising a one-day training programme on latest trends in FEMA. The one day course will identify the practical issues and help create a broader understanding of the foreign exchange laws and policy in India.

Why you should attend: 

  • To get complete understanding of regulation of Foreign Exchange Transactions
  • To understand critical points relating to entry strategy in India (including downstream investment)
  • Inbound and Outbound investment strategy – recent changes
  • Procedures and hiccups in raising International Finance
  • Discussion over remittances (LRS, NRO account etc)
  • Corporate guarantees , External commercial Borrowings and ESOPs
  • To understand the effect of latest changes brought in by government policies (retail, Civil aviation   etc)
  • To understand the AIF regulations and regulations relating to  FVCI , FII in complete clarity
  • To understand how effective and bullet proof FDI policy of India is vis a vis other countries  

Agenda:

1.    Session 1: Overview of FEMA and FDI Policy

  • Basics (Current and Capital account transactions, Automatic and Approval route, Complete introduction of all rules regulations and Master circular under FEMA and Changes thereof, Fuller account Convertibility, Balance of Payment, dividend balancing, Introduction of regulatory setup – DIPP, FIPB, RBI  etc)
  • FDI Policy – Recent changes in the FDI policy(Multi Brand Retail Trading, Construction Sector, Civil Aviation).
  •  Manner of functioning of Indian FDI policy vis a vis emerging economies.

 2.    Session 2: Investment Policies

  • Investment in Liaison Office/Branch office/Company /Joint ventures/LLPs – Recent changes and developments
  • FII and FVCI including AIF
  • Drafting of shareholders agreement (brief discussion over relevant clauses)
    Funding of subsidiaries
  • Key points to be considered while making Downstream Investment
    Pointers for Valuation of securities (especially convertible debentures)
  • Merger / acquisition – Developments
  • Regulations, Reporting, Compliances and compounding procedures
  • Do and do not’s of investor and investee companies

 3.    Session 3: Outbound investment policy

  • Recent changes
  • Drafting of agreement
  • Precautions while making an investment
  • Reporting requirements , Compliances and procedures
  • Loan to WOS/pledge of shares
  • Manner, mode and funding of investment
  • Corporate goals sync in foreign territories
  • ESOPs to non – resident employees – practical problem
  • FEMA vis a vis Double taxation avoidance agreement

 4.    Session 4: International Finance

  • External commercial Borrowing – recent changes
  • ECB vis a vis other mode of financing (domestic finance/ADR/GDR) – cost benefit analysis
  • Drafting of ECB agreements (points to be considered)
  • Drafting of Corporate Guarantees
  • Trade credit why useful
  • Reporting requirement
  • Corporate Guarantees, Trade credit and structured obligations
  • Hedging of Risk

Experts:

  • Sunil Kumar- Partner, Rajani, Singhania & Partners
  • Atul Mittal – Director, Deloitte Touche Tohmatsu India Pvt. Ltd
  • Dipak Rao – Senior Partner, Rajani, Singhania & Partners

Registration Details:

Date of Training: 21st February, New Delhi

Standard Fee: INR 15,000 plus 12.36% Service Tax

Early Bird Discount: 25% Discount till 14th February – i.e. INR 11,250 + 12.36% (Service Tax) for all patrons of Corporate Law Reporter.

For Further Information, Contact:

For registrations and group discount please contact: Biplab SenGupta | T: +91-120-4171140 | M: +91-8130826342 | Email address: [email protected]           

Please fill the following form to express interest. Someone from the organizer will get in touch with you.  

The post Foreign Exchange Management Act – Emerging Issues and Recent Developments – VCCircle .

5th Annual FEMA Summit 2014

The Foreign Exchange Management Act (FEMA) is a 1999 Indian law ”to consolidate and amend the law relating to foreign exchange with the objective of facilitating external trade and payments and for promoting the orderly development and maintenance of foreign exchange market in India”. This act seeks to make offenses related to foreign exchange civil offenses. It extends to the whole of India, replacing FERA, which had become incompatible with the pro-liberalisation policies of the Government of India. It enabled a new foreign exchange management regime consistent with the emerging framework of the World Trade Organisation (WTO). The enactment of FEMA also brought with it the Prevention of Money Laundering Act of 2002, which came into effect from 1 July 2005.

The buying and selling of foreign currency and other debt instruments by businesses, individuals and governments happens in the foreign exchange market. Apart from being very competitive, this market is also the largest and most liquid market in the world as well as in India. It constantly undergoes changes and innovations, which can either be beneficial to a country or expose them to greater risks. The management of foreign exchange market becomes necessary in order to mitigate and avoid the risks. Central banks would work towards an orderly functioning of the transactions which can also develop their foreign exchange market. The need for the management of foreign exchange is important. It is necessary to keep adequate amount of foreign exc from Import Substitution to Export Promotion.

This two day event will provide an exclusive forum for participants to understand the FEMA Regulations, FDI Policy, AML framework and regulators view on various aspects of Anti money laundering compliance with topics on regulatory expectations, recent developments and new regulations in anti-money laundering compliance and discuss challenges faced by financial institutions presented by regulators, law enforcement professionals and anti money laundering specialist.

Schedule:-

Date – 17th and 18th April
Venue – Hotel Novotel, Juhu
Knowledge Partners – Deloitte and MPC Legal

Regulatory and Industry Experts also to join in

Registration Fees:-

No. of Delegates

Regular Fees

Early Bird Discount

1 Delegate

INR 16, 995

INR 14, 000

3 Delegates

INR 50, 985

INR 37, 500

Table ( 5 Delegates)

INR 84, 975

INR 60, 000

  • Additional 12.36% service tax
  • Early bird ends on 10th March
  • Above mentioned fees is for both days

Organisers:

Achromic Point Consulting Pvt. Ltd.

303 – 305, Sarda Chambers – IV 3rd Floor, L.S.C. Kalkaji

New Delhi – 110019, India

D: +91 11 2628 1521

M: +91 844 775 8763

E: [email protected]

W: www.achromicpoint.com

The post 5th Annual FEMA Summit 2014 .

RBI Clarification on Facilities for Persons Resident outside India

RBI/2013-14/454 A.P. (DIR Series) Circular No.96 January 20, 2014 To All Category – I Authorised Dealer Banks Madam / Sir, Facilities for Persons Resident outside India – Clarification Attention of Authorized Dealers Category – I (AD Category- I) banks is invited to the Foreign Exchange Management (Foreign Exchange Derivative Contracts) Regulations, 2000 dated May 3, [...]

The post RBI Clarification on Facilities for Persons Resident outside India .

Clarification- Establishment of Liaison Office/ Branch Office/ Project Office in India by Foreign Entities- General Permission

RBI/2013-14/447 A.P. (DIR Series) Circular No.93 January 15, 2014 To All Authorised Dealer Category – I Banks Madam / Dear Sir Clarification- Establishment of Liaison Office/ Branch Office/ Project Office in India by Foreign Entities- General Permission Attention of Authorised Dealer Category –I (AD Category – I) banks is invited to Regulation 4 of Notification No.FEMA.22/2000-RB [...]

The post Clarification- Establishment of Liaison Office/ Branch Office/ Project Office in India by Foreign Entities- General Permission .

Foreign Direct Investment- Pricing Guidelines for FDI instruments with optionality clauses

RBI/2013-2014/436 A.P. (DIR Series) Circular No. 86 January 9, 2014 All Category – I Authorised Dealer banks Madam/Sir, Foreign Direct Investment- Pricing Guidelines for FDI instruments with optionality clauses Attention of Authorised Dealers is invited to the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) Regulations, 2000 notified vide Notification [...]

The post Foreign Direct Investment- Pricing Guidelines for FDI instruments with optionality clauses .

RBI Clarifications on Provisions under section 6 (4) of Foreign Exchange Management Act, 1999

RBI/2013-14/440 A.P. (DIR Series) Circular No. 90 January 9, 2014 To, All Category- I Authorised Dealer Banks and Authorised Banks Madam / Sir, Provisions under section 6 (4) of Foreign Exchange Management Act, 1999 – Clarifications Attention of Authorized Dealers is invited to Section 6 (4) of FEMA, 1999 in terms of which a person [...]

The post RBI Clarifications on Provisions under section 6 (4) of Foreign Exchange Management Act, 1999 .

Overseas Direct Investments – Rollover of Guarantees

RBI/2013-14/427 A.P. (DIR Series) Circular No.83 January 3, 2014 To All Category – I Authorised Dealer Banks Madam / Sir, Overseas Direct Investments – Rollover of Guarantees Attention of the Authorised Dealer (AD – Category I) banks is invited the provisions of Notification No. FEMA.120/RB-2004 dated July 7, 2004 [Foreign Exchange Management (Transfer or Issue of any [...]

The post Overseas Direct Investments – Rollover of Guarantees .

Import of Gold by Nominated Banks/Agencies/Entities

RBI/2013-14/423 A.P. (DIR Series) Circular No.82 December 31, 2013 To All Scheduled Commercial Banks which are Authorized Dealers (ADs) in Foreign Exchange/ All Agencies nominated for import of gold Madam / Sir, Import of Gold by Nominated Banks/Agencies/Entities Attention of Authorized Persons is drawn to the Reserve Bank’s A.P. (DIR Series) Circular No. 25 dated August [...]

The post Import of Gold by Nominated Banks/Agencies/Entities .

Foreign Direct Investment (FDI) in India – Definition of ‘group company’ as per RBI Guidelines

RBI/2013-14/356 A.P. (DIR Series) Circular No.68 November 01, 2013 To All Category – I Authorised Dealer banks Madam/Sir, Foreign Direct Investment (FDI) in India –definition of ‘group company’ Attention of Authorised Dealer Category – I (AD Category-I) banks is invited to the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside [...]

The post Foreign Direct Investment (FDI) in India – Definition of ‘group company’ as per RBI Guidelines appeared first on Corporate Law Reporter.

Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Thirteenth Amendment) Regulations, 2013

RESERVE BANK OF INDIA (FOREIGN EXCHANGE DEPARTMENT) (CENTRAL OFFICE) NOTIFICATION No. 289/2013-RB Mumbai, the 4th October, 2013 Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Thirteenth Amendment) Regulations, 2013 G.S.R. 681 (E).—In exercise of the powers conferred by clause (b) of sub-section (3) of Section 6 and Section 47 of the Foreign Exchange Management Act, [...]

The post Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Thirteenth Amendment) Regulations, 2013 appeared first on Corporate Law Reporter.

Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Fourteenth Amendment) Regulations, 2013

RESERVE BANK OF INDIA (Foreign Exchange Department) (CENTRAL OFFICE) NOTIFICATION No. FEMA. 290/2013-RB Mumbai, the 4th October, 2013 Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Fourteenth Amendment) Regulations, 2013 G.S.R. 682 (E).—In exercise of the powers conferred by clause (b) of sub-section (3) of Section 6 and Section 47 of the Foreign Exchange Management [...]

The post Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Fourteenth Amendment) Regulations, 2013 appeared first on Corporate Law Reporter.

Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Sixteenth Amendment) Regulations, 2013

RESERVE BANK OF INDIA (FOREIGN EXCHANGE DEPARTMENT) (CENTRAL OFFICE) NOTIFICATION No. FEMA. 292/2013-RB Mumbai, the 4th October, 2013 Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Sixteenth Amendment) Regulations, 2013 G.S.R. 683 (E).— In exercise of the powers conferred by clause (b) of sub-section (3) of Section 6 and Section 47 of the Foreign Exchange Management [...]

The post Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Sixteenth Amendment) Regulations, 2013 appeared first on Corporate Law Reporter.

Overseas Foreign Currency Borrowings by Authorised Dealer Banks

RBI/2013-14/323 A.P. (DIR Series) Circular No. 61 October 10, 2013 To All Category – I Authorised Dealer Banks Madam / Sir, Overseas Foreign Currency Borrowings by Authorised Dealer Banks Attention of Authorised Dealer Category I banks is invited to Regulation no. (4)(2)(i) of Notification No. FEMA 3/RB-2000 dated May 3, 2000 as amended from time to time [...]

The post Overseas Foreign Currency Borrowings by Authorised Dealer Banks appeared first on Corporate Law Reporter.