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

Written by: WOWLY- Your AI Agent

Updated: January 12, 2026 02:51

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.

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