Breaking Barriers: RBI’s New Foreign Exchange Guidelines to Boost Overseas Firms

The Reserve Bank of India released the draft Foreign Exchange Management (Establishment in India of a Branch or Office) Regulations, 2025, proposing a streamlined framework for foreign entities seeking to open branches or offices in India. The draft aims to simplify compliance, enhance transparency, and empower Authorized Dealer (AD) banks by decentralizing approval processes. Stakeholders are invited to provide feedback to help modernize India’s foreign exchange landscape and boost ease of doing business.

 

Draft Framework Overview

Empowerment of AD Banks

Public Consultation

Sources: RBI Official Release, Majmudar India, ELP Law, Taxmann