FEMA & RBI Advisory

Overview

The Foreign Exchange Management Act governs how foreign exchange enters, moves within and leaves India. For an inbound investor it decides which sectors you may invest in, the price at which shares may be issued to a non-resident, how funds must be received, and what must be reported afterwards.

Exchange-control questions rarely have a one-line answer, and the cost of getting one wrong is usually paid later — in a compounding application, a delayed remittance, or an auditor’s qualification.

We give a written advisory note setting out the applicable provision, the reporting it creates and the practical steps to stay compliant. Where a past breach has already occurred, we will tell you plainly and set out the regularisation route.

Who this is for

• Foreign investors and their Indian entities
• NRIs investing in Indian companies or property-holding structures
• Finance teams facing a bank query on an inward or outward remittance
• Companies that have missed a reporting deadline and need a regularisation route

What the engagement includes

• FDI eligibility, sectoral caps and entry-route analysis
• Pricing guideline review for issue or transfer of shares to non-residents
• Inward remittance and share allotment reporting guidance
• Repatriation, dividend and outbound investment queries
• NRI investment structuring and account-type guidance
• A written advisory note, with follow-up clarification included

Documents you will need

How it works

1. Scope the question — A short call to establish the facts and what decision the answer will support.
2. Analysis — The applicable provisions, circulars and reporting requirements are examined.
3. Written note — You receive an advisory note with the position, the reasoning and the action points.
4. Follow-up — One clarification call is included, so your bank or auditor’s questions get answered.

Questions about FEMA & RBI Advisory