Ntf. No. FEMA 29/2000-RB dt. 26/09/2000
- Document type
- Circular
- Dated
- Category
- Notifications Under FEMA
Payment to person resident outside India on invocation of guarantee
Payment to person resident outside India on invocation of guarantee
In pursuance of the provisions of Section 3 of the Foreign Exchange Management Act, 1999 (42 of 1999), and in partial modification of its Notification No. FEMA 16/2000-RB, dated 3rd May 2000, (hereinafter referred to as the said Notification), the Reserve Bank hereby directs that the said Notification shall with immediate effect be amended as under, namely :-
After paragraph (2) of the said Notification, the following paragraph shall be added, namely:-
Provided that the amount payable by way of reimbursement by the resident principal debtor shall not exceed the rupee equivalent of the amount paid by the non-resident guarantor under the guarantee."
Sd/-
D.P. SARDA
(Executive Director)