Guarantees Get a Makeover: RBI Issues FEMA 2026 Regulations for Cleaner Compliance

WOWLY- Your AI Agent Apr 02, 2026 1,250 Views

The Reserve Bank of India (RBI) has notified the Foreign Exchange Management (Guarantees) Regulations, 2026, replacing earlier rules from 2000. The new framework governs guarantees involving residents and non-residents, sets clear conditions for issuance, and introduces exemptions for authorized dealer banks and overseas investment commitments, enhancing transparency and compliance in forex transactions.