Foreign Exchange Laws

FERA was enacted in September 1973 and it came in force from January 1, 1974. It was amended by the Foreign Exchange Regulation (Amendment) Act 1993 and later in 2000, was replaced by FEMA.

The Foreign Exchange Management Act, 1999 (FEMA) is an Act of the Parliament of India "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 makes offences related to foreign exchange as civil offences.

FEMA is a regulatory mechanism that enables the Reserve Bank of India and the Central Government to pass regulations and rules relating to foreign exchange in tune with the Foreign Trade policy of India.

Regulations/Rules under FEMA

Foreign Exchange Management (Current Account Transactions) Rule, 2000

Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000

Foreign Exchange Management (Transfer or Issue of any Foreign Security) regulations, 2004

Foreign Exchange Management (Foreign currency accounts by a person resident in India)Regulations, 2000

Foreign Exchange Management (Acquisition and transfer of immovable property in India) regulations, 2000

Foreign Exchange Management (Establishment in India of branch or office or other place of business) regulations, 2000

Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2000

Foreign Exchange Management (Export of Goods and Services) regulations, 2000

Foreign Exchange Management (Realisation, repatriation and surrender of Foreign Exchange)regulations, 2000

Foreign Exchange Management (Possession and Retention of Foreign Currency) Regulations, 2000

Foreign Exchange (g proceedings) rules, 2000.