MANU/RFEM/0014/2000

Department / Board :RBI-Exchange Control Department

Notification No :FEMA 22/2000

Date : 03.05.2000

Foreign Exchange Management (Establishment in India of Branch or Office or other Place of Business) Regulations, 2000.

In exercise of the powers conferred by sub-section (6) of Section 6 of the Foreign Exchange Management Act, 1999 (42 of 1999), the Reserve Bank makes the following regulations to prohibit, restrict and regulate establishment in India of a branch or office or other place of business by a person resident outside India, namely:

1. Short title and commencement:-

i) These Regulations may be called the Foreign Exchange Management (Establishment in India of Branch or Office or other Place of Business) Regulations, 2000.

ii) They shall come into force on 1st day of June, 2000.

2. Definitions:-

In these regulations, unless the context otherwise requires -

a) 'Act' means the Foreign Exchange Management Act, 1999 ( 42 of 1999);

b) 'foreign company' means a body corporate incorporated outside India, and includes a firm or other association of individuals;

c) 'Branch' shall have the meaning assigned to it in sub-section (9) of Section 2 of the Companies Act, 1956 ( 1 of 1956),

d) 'form' means a form annexed to these Regulations;

e) 'Liaison Office' means a place of business to act as a channel of communication between the Principal place of business or Head Office by whatever name called and entities in India but which does not undertake any commercial /trading/ industrial activity, directly or indirectly, and maintains itself out of inward remittances received from abroad through normal banking channel;

f) 'Project Office' means a place of business to represent the interests of the foreign company executing a project in India bu........