Regulation 5 - Application to Reserve Bank for opening branch or liaison office - Foreign Exchange Management (Establishment In India of Branch Or Office or Other Place of Business) Regulations, 2000

5. Application to Reserve Bank for opening branch or liaison 1 office:- 3 [(i) A person resident outside India desiring to establish a branch or liaison office in India shall apply to the Reserve Bank through an Authorised Dealer, in Form FNC as amended by Reserve Bank of India from time to time.] 4 [(ia) A person resident outside India permitted by the Reserve Bank under this regulation to establish a liaison office in India, may apply to the authorised dealer concerned for, extension of the validity period of approval, and upon receipt of such an application, the authorised dealer concerned may extend the validity period of approval subject to such directions issued by the Reserve Bank in this regard, from time to time.] 2 (ii) A foreign Company may open a Project Office/s in India provided it has secured from an Indian company, a contract to execute a project in India, and (a) the project is funded directly by inward remittance from abroad; or (b) the project is funded by a bilateral or multilateral International Financing Agency; or (c) the project has been cleared by an appropriate authority; or (d) a company or entity in India awarding the contract has been granted Term Loan by a Public Financial Institution or a bank in India for the project. (iii) The Foreign Company shall furnish a report to the concerned Regional Office of Reserve Bank of India under whose jurisdiction the Project Office is set up, giving details as under: (a) Name and address of the foreign company (b) Reference No. and date of letter awarding the contract referred to in clause (ii) of Regulation 5 (c) Total amount of contract (d) Address and tenure of Project Office (e) Nature of Project undertaken. Explanation: For the purpose of this Regulation, 'a bilateral or multilateral International Financing Agency' means the World Bank or the International Monetary Fund or similar other body; Public Financial Institution is a public financial institution as defined in Section 4A of the Companies Act, 1956. ************************** Notes : 1. For the words, 'or Project Office etc.,' the word 'office' has been substituted Notification No. 095/2003 dated 2/7/2003 2. Has been substituted vide Notification No. Supra 3. Substituted vide notification no. 218/2011 RB dated 19/1/2011 w.e.f. 1.2.2010, before it was read as, A person resident outside India desiring to establish a branch or liaison office in India shall apply to the Reserve Bank, in form FNC 1. 4. Inserted vide notification no. 218/2011 RB dated 19/1/2011 w.e.f. 1.2.2010,