Economy
RBI Shifts More FEMA Compounding Applications To Regional Offices
The RBI has delegated compounding powers for overseas investment, borrowing, lending and guarantee contraventions to select regional offices.
What happened
A circular dated October 23 delegates powers to select RBI regional offices to compound certain FEMA contraventions involving overseas investments, borrowing, lending and guarantees. Overseas investment applications must be filed according to the foreign entity’s Unique Identification Number prefix, with seven regional offices listed. Cases without a UIN remain with CEFA at RBI’s Central Office.
Why it matters
Applicants covered by the delegation gain designated regional submission points, while overseas investment cases without UINs continue through the RBI’s Central Office process.
Source: RBI Notifications