*See Volume 2.
*See Volume 2.
*See Volume 2.
3.35
FOREIGN EXCHANGE MANAGEMENT (OVERSEAS INVESTMENT) RULES, 2022*
[SUPERSESSION OF NOTIFICATION NO. FEMA 7(R)/2015-RB, DATED 21-1-2016 AND NOTIFICATION NO. FEMA 120/2004-RB, DATED 7-7-2004]
Notification No. G.S.R. 646(E), dated 22-8-2022.— In exercise of the powers conferred by subsection (1) and clauses ( ) and ( ) of sub-section (2) of section 46 and sub-section (3) of section 47 of the Foreign Exchange Management Act, 1999 (42 of 1999) and in supersession of the Foreign Exchange Management (Transfer or Issue of any Foreign Security) Regulations, 2004 and the Foreign Exchange Management (Acquisition and Transfer of Immovable Property Outside India) Regulations, 2015, except as respects things done or omitted to be done before such supersession, the Central Government hereby makes the following rules, namely:—
Short title and commencement. 1.
FOREIGN EXCHANGE MANAGEMENT (TRANSFER OR ISSUE OF ANY FOREIGN SECURITY) REGULATIONS, 2004/FOREIGN EXCHANGE MANAGEMENT (ACQUISITION AND TRANSFER OF IMMOVABLE PROPERTY OUTSIDE INDIA) REGULATIONS, 2015.
See
Explanation. q
Explanation
r sProvided Explanation.
t 77u v w x y z za zb zc
Administration of these rules 3.
Non-applicability of rules and regulations relating thereto in certain cases 4.
3.225
a b i ii iii Explanation. —
Debt instruments and non-debt instruments.
5. i ii iii iv v i ii iii
iv v vi i.e. vii viii ix
Continuity of certain investments.
6. Rights issue and bonus shares.
7.
8. Overseas Investment.
Manner of making Overseas Direct Investment by Indian entity. 11.
Manner of making Overseas Portfolio Investment by an Indian entity. 12.
Manner of making Overseas Investment by resident individual. 13.
Overseas Investment by person resident in India other than Indian entity and resident Individual. 14.
Overseas Investment in IFSC by person resident in India. 15.
Pricing guidelines. 16.
Transfer or liquidation.
17.
i ii Provided Restructuring.
18. Provided Provided further Restrictions and prohibitions.
19. a b c Explanation
Requirements to be specified by Reserve Bank. 20
Restriction on acquisition or transfer of immovable property outside India 21.
SCHEDULE I See MANNER OF MAKING OVERSEAS DIRECT INVESTMENT BY INDIAN ENTITY Manner of making ODI.
1. bona fide
ODI in financial services activity.
SCHEDULE II
See MANNER OF MAKING OVERSEAS PORTFOLIO INVESTMENT BY AN INDIAN ENTITY OPI by an Indian entity.
1. iii iv v vi
SCHEDULE III
See MANNER OF MAKING OVERSEAS INVESTMENT BY RESIDENT INDIVIDUAL
Manner of making OI.
1.
Provided further f g h
Explanation
Acquisition by way of gift or inheritance.
2.
Acquisition of shares or interest under Employee Stock Ownership Plan or Employee Benefits Scheme or sweat equity shares.
3.
Explanation.
ODI by Registered Trust or Society. 1. i 3.233
SCHEDULE IV See
OVERSEAS INVESTMENT BY PERSON RESIDENT IN INDIA OTHER THAN INDIAN ENTITY AND RESIDENT INDIVIDUAL
v OI by Mutual Funds or Venture Capital Funds or Alternative Investment Funds.
2. Provided Provided further
Explanation
Opening of Demat Accounts by clearing corporations of stock exchanges and clearing members.
3. i ii iii Acquisition and transfer of foreign securities by domestic depository.
4. Acquisition and transfer of foreign securities by AD bank.
5.
SCHEDULE V See
OVERSEAS INVESTMENT IN IFSC BY PERSON RESIDENT IN INDIA
Overseas Investment in IFSC by person resident in India.
1. Provided
Foreign Exchange Management Manual with FEMA and FDI Ready Reckoner & FEMA Case Laws Digest | Set
of 2 Volumes
AUTHOR : TAXMANN'S EDITORIAL BOARD
PUBLISHER : TAXMANN
DATE OF PUBLICATION : JANUARY 2025
EDITION : 45TH EDITION | 2025
ISBN NO : 9789364555661
NO. OF PAGES : 3276
BINDING TYPE : PAPERBACK Rs. 6995
DESCRIPTION
This landmark publication is an authoritative and comprehensive compendium designed to provide an in-depth understanding of foreign exchange management laws in India.
This compendium is essential for finance and legal professionals, educators, students, businesses, investors, NGOs, and policymakers involved in foreign exchange management and compliance.
The Present Publication is the 45th Edition | 2025 and updated till 15th December 2024. This book is edited/authored by Taxmann's Editorial Board, with the following noteworthy features:
• [Annotated Texts of FEMA] Detailed annotations make complex regulatory requirements accessible
• [Extensive Coverage] Includes 40+ rules, regulations, and a digest of case laws
• [Practical Ready Reckoner] Simplifies understanding of FEMA's legal framework
• [Regular Updates] Incorporates the latest master directions and notifications from the RBI
• [Critical Areas Covered] Includes FDI policies, prevention of money laundering, and laws on foreign contribution
• [User-Friendly Design] Extensive cross-references and indexing for quick information access