Opening, holding and maintaining Foreign Currency Account in India by Unit in Special Economic Zones (SEZs) - FEMA - 028

Opening, holding and maintaining Foreign Currency Account in India by Unit in Special Economic Zones (SEZs) Reserve Bank of India Exchange Control Department Central Office Mumbai 400 001 A.P. (DIR Series) Circular No.28 October 3, 2002 To, All Authorised Dealers in Foreign Exchange Madam/Sirs, Opening, holding and maintaining Foreign Currency Account in India by Unit in Special Economic Zones (SEZs) Attention of authorised dealers is invited to Notification No.FEMA.37/2001-RB dated February 27, 2001 relating to Foreign Exchange Management (Foreign Currency Account by a Person Resident in India) Regulations, 2000 which has been amended by Notification No.FEMA.63/2002-RB dated June 21, 2002 (copy enclosed). 2. In terms of paragraph 6A of the aforesaid notification, a unit located in a Special Economic Zone may be allowed to open, hold and maintain a Foreign Currency Account with an authorised dealer in India subject to the conditions stipulated in the Notification. 3. Paragraph 5 in the Schedule of the aforesaid regulation relating to special provision for EEFC Account of a unit in a Special Economic Zone stands deleted. 4. Authorised Dealers may please bring the contents of this circular to the notice of their constituents concerned. 5. The directions contained in this circular have been issued under Section 10(4) and Section 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999). Yours faithfully, Grace Koshie Chief General Manager