1.3
- Document type
- Manual
- Dated
- Category
- Exchange Management Manual
Transactions Regulated by Exchange Control
The types of transactions which are affected by the Foreign Exchange Regulation Act are, in general, all those having international financial implications. In particular, the following matters are regulated by Exchange Control:
(a) Purchase and sale of and other dealings in foreign exchange and maintenance of balances at foreign centres
(b) Procedure for realisation of proceeds of exports
(c) Payments to non-residents or to their accounts in India
(d) Transfer of securities between residents and non-residents and acquisition and holding of foreign securities
(e) Foreign travel with exchange
(f) Export and import of currency, cheques, drafts, travellers cheques and other financial instruments, securities, etc.
(g) Activities in India of branches of foreign firms and companies and foreign nationals
(h) Foreign direct investment and portfolio investment in India including investment by non-resident Indian nationals/persons of Indian origin and corporate bodies predominantly owned by such persons.
(i) Appointment of non-residents and foreign nationals and foreign companies as agents in India
(j) Setting up of joint ventures/subsidiaries outside India by Indian companies
(k) Acquisition, holding and disposal of immovable property in India by foreign nationals and foreign companies
(l) Acquisition, holding and disposal of immovable property outside India by Indian nationals resident in India.