The
amendment provides greater
flexibility in approving ADs' internal guidelines
for outward forex remittances by permitting approval through a duly authorised Board Committee or Management Committee,
instead of requiring approval exclusively from the full Board.
1.
Existing Requirement: Under A.P. (DIR Series) Circular No. 12 dated
3 July 2024, Authorised Dealers were advised to frame internal
guidelines, with Board
approval, for facilitating outward foreign exchange remittances
based on online/physical submission of Form
A2 and related documents.
2.
Revised Approval Mechanism: RBI has now decided
that ADs may obtain
approval from either:
o their Board, or
o a Board Committee / Management Committee
to which the Board has delegated the relevant powers.
3.
Scope: The revised provision applies to Authorised Dealers (ADs) Category-I
banks and AD Category-II entities.
4.
Purpose Unchanged: The internal guidelines continue to
facilitate outward forex
remittances based on online or physical submission of Form A2 and other related documents.
5.
Other Instructions Unchanged: All other instructions
contained in A.P. (DIR
Series) Circular No. 12 dated 3 July 2024 remain unchanged.
6.
Customer Communication: Authorised Dealers are
required to bring the
contents of the circular to the notice of their constituents.
7.
Legal Basis: The directions are issued under Sections 10(4) and 11(1) of FEMA, 1999,
without prejudice to any other permissions/approvals required under applicable
law.
[A.P. (DIR Series) Circular
No. 23 dated October 01, 2026]
Online
submission of Form A2: Removal of limits on amount of remittance
Attention of Authorised
Dealers (ADs) Category I banks and AD – Category II entities is invited to
paragraph 3 of A.P. (DIR Series) Circular No. 12 dated July 03, 2024, on the
captioned subject, in terms of which they were advised to frame appropriate
internal guidelines with the approval of their Board, for the purpose of
facilitating outward forex remittances on the basis of online / physical
submission of Form A2 and other related documents.
On a review, it has now been decided
that Authorised Dealers shall frame appropriate
internal guidelines with the approval of their Board or any Board Committee /
Management Committee to which powers have been delegated by the Board, for the
purpose mentioned in the aforesaid circular.
All other instructions issued vide A.P.
(DIR Series) Circular No. 12 dated July 03, 2024, remain unchanged. Authorised Dealers may bring the contents of this circular
to the notice of their constituents.
The directions contained in this
circular have been issued under sections 10(4) and 11(1) of the Foreign
Exchange Management Act, 1999 (42 of 1999) and are without prejudice to
permissions/approvals, if any, required under any other law.