FEMA and Allied Economic Laws Manual (2 Vol Set) – Edition 2027

Description

FEMA and Allied Economic Laws Manual (2 Vol Set) by Dr. Rajeev Babel is a comprehensive reference work covering the Foreign Exchange Management Act, 1999 (FEMA) along with important rules, regulations, Master Directions, prescribed forms and major allied economic laws.

The 2027 Edition is presented in two comprehensive volumes spanning 2,104 pages and brings together FEMA and its regulatory framework with other important legislation concerning foreign contribution, foreign trade, prevention of money laundering, conservation of foreign exchange and related economic matters.

The FEMA portion begins with the evolution of India’s foreign exchange law from the control-oriented FERA regime to the management-based FEMA framework. It then provides detailed coverage of the provisions of FEMA, including preliminary provisions, regulation and management of foreign exchange, authorised persons, contraventions and penalties, adjudication and appeals, Directorate of Enforcement and miscellaneous provisions.

A major strength of the book is its extensive compilation of FEMA Rules, Regulations and RBI Master Directions. The contents include the Non-Debt Instruments Rules, Overseas Investment Rules, Compounding Proceedings Rules and numerous FEMA Regulations dealing with foreign currency accounts, deposits, borrowing and lending, overseas investment, debt instruments, cross-border mergers, export and import of goods and services and guarantees.

Key Features

• Comprehensive coverage of the Foreign Exchange Management Act, 1999 (FEMA)
• FEMA Rules, Regulations, Master Directions and prescribed Forms
• Discussion on the transition from FERA to FEMA
• Section-wise commentary on important FEMA provisions
• Coverage of Contraventions, Penalties, Adjudication, Appeals and Enforcement
• FEMA Non-Debt Instruments Rules, 2019
• FEMA Overseas Investment Rules, 2022
• Foreign Exchange (Compounding Proceedings) Rules, 2024
• Regulations relating to Foreign Investment, Borrowing & Lending, Deposits, Foreign Currency Accounts and Overseas Investment
• Regulations concerning Export & Import of Goods and Services, 2026
• FEMA (Guarantees) Regulations, 2026
• Extensive RBI Master Directions covering foreign investment, ECB, overseas investment, LRS, deposits, reporting, import/export and other forex matters
• Coverage of Foreign Direct Investment (FDI) Policy
• FEMA-related FAQs and practical regulatory material
• Judicial interpretations and important case law incorporated across FEMA provisions
• Useful reference material including glossary, important websites, cases cited and section-wise comparison of FERA and FEMA

Contents at a Glance

Volume I

Part-A

The Foreign Exchange Management Act, 1999 (FEMA), Rules, Regulations, Master Directions & Various Forms

Chapter Number	Description	Page Number
Chapter A1	A Paradigm Shift in Forex Laws: From Control Oriented FERA to Management-Based FEMA	3
Chapter A2	Preliminary (Chapter I, Sections 1 to 2)	26
Chapter A3	Regulation and Management of Foreign Exchange (Chapter II, Sections 3 to 9)	60
Chapter A4	Authorised Person (Chapter III, Sections 10 to 12)	80
Chapter A5	Contravention and Penalties (Chapter IV, Sections 13 to 15)	91
Chapter A6	Adjudication and Appeal (Chapter V, Sections 16 to 35)	115
Chapter A7	Directorate of Enforcement (Chapter VI, Sections 36 to 38)	160
Chapter A8	Miscellaneous (Chapter VII, Sections 39 to 49)	173
Chapter A9.1	The Foreign Exchange Management (Non-Debt Instruments) Rules, 2019 (Amended upto June 12, 2026)	199
Chapter A9.2	The Foreign Exchange Management (Adjudication Proceedings and Appeal) Rules, 2000 (Amended up to July 27, 2005)	282
Chapter A9.3	The Foreign Exchange Management (Current Account Transactions) Rules, 2000 (Amended up to May 16, 2023)	291
Chapter A9.4	The Foreign Exchange Management (Encashment of Draft, Cheque, Instrument and Payment of Interest) Rules, 2000	299
Chapter A9.5	The Foreign Exchange Management (Authentication of Documents) Rules, 2000	302
Chapter A9.6	The Foreign Exchange Management (Overseas Investment) Rules, 2022	304
Chapter A9.7	The Foreign Exchange (Compounding Proceedings) Rules, 2024	323
Chapter A9.8	The Appellate Tribunal for Foreign Exchange (Recruitment, Salary and Allowances and Other Conditions of Service of Chairperson and Members) Rules, 2000 (Amended up to October 5, 2001)	332
Chapter A10.1	The Foreign Exchange Management (Issue of Security in India by a Branch, Office or Agency of a Person Resident Outside India) Regulations, 2000	336
Chapter A10.2	The Foreign Exchange Management (Foreign Exchange Derivative Contracts) Regulations, 2000 (Amended upto February 18, 2020)	338
Chapter A10.3	The Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000 (Amended upto March 07, 2019)	345
Chapter A10.4	The Foreign Exchange Management (Offshore Banking Unit) Regulations, 2002	350
Chapter A10.5	The Foreign Exchange Management (Withdrawal of General Permission to Overseas Corporate Bodies (OCBs)) Regulations, 2003	354
Chapter A10.6	The Foreign Exchange Management (Crystallization of Inoperative Foreign Currency Deposits) Regulations, 2014	359
Chapter A10.7	The Foreign Exchange Management (Realisation, Repatriation and Surrender of Foreign Exchange) Regulations, 2015	361
Chapter A10.8	The Foreign Exchange Management (Regularization of assets held abroad by a person resident in India) Regulations, 2015	364
Chapter A10.9	The Foreign Exchange Management (Possession and Retention of Foreign Currency) Regulations, 2015	367
Chapter A10.10	The Foreign Exchange Management (Export and Import of Currency) Regulations, 2015. (Amended up to February 24, 2026)	369
Chapter A10.11	The Foreign Exchange Management (International Financial Services Centre) Regulations, 2015	375
Chapter A10.12	The Foreign Exchange Management (Insurance) Regulations, 2015	381
Chapter A10.13	The Foreign Exchange Management (Foreign Currency Accounts by a Person Resident in India) Regulations, 2015. (Amended upto October 06, 2025)	383
Chapter A10.14	The Foreign Exchange Management (Remittance of Assets) Regulations, 2016	398
Chapter A10.15	The Foreign Exchange Management (Deposit) Regulations, 2016. (Amended upto January 15, 2025)	403
Chapter A10.16	The Foreign Exchange Management (Establishment in India of a branch office or a liaison office or a project office or any other place of business) Regulations, 2016. (Amended upto January 21, 2019)	424
Chapter A10.17	The Foreign Exchange Management (Cross Border Merger) Regulations, 2018	438
Chapter A10.18	The Foreign Exchange Management (Borrowing and Lending) Regulations, 2018. (Amended up to February 09, 2026)	450
Chapter A10.19	The Foreign Exchange Management (Debt Instruments) Regulations, 2019. (Amended up to October 01, 2025)	469
Chapter A10.20	The Foreign Exchange Management (Mode of Payment and Reporting of Non-Debt Instruments) Regulations, 2019. (Amended upto June 13, 2026)	477
Chapter A10.21	The Foreign Exchange Management (Margin for Derivative Contracts) Regulations, 2020 (Amended up to April 30, 2024)	485
Chapter A10.22	The Foreign Exchange Management (Overseas Investment) Regulations, 2022	488
Chapter A10.23	The Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2023 (Amended up to February 04, 2025)	497
Chapter A10.24	The Foreign Exchange Management (Export and Import of Goods and Services) Regulations, 2026	500
Chapter A10.25	The Foreign Exchange Management (Guarantees) Regulations, 2026	511
Chapter A11.1	Master Direction – Foreign Exchange Management (Money Changing Activities), dated January 1, 2016 (Updated as on June 24, 2026)	518
Chapter A11.2	Master Direction – Foreign Exchange Management (Export of Goods and Services), dated January 1, 2016 (Updated as on July 17, 2026)	538
Chapter A11.3	Master Direction – Foreign Exchange Management (Borrowing and Lending transactions in Indian Rupee between Persons Resident in India and Non-Resident Indians/ Persons of Indian Origin), dated January 1, 2016 (Updated as on February 16, 2026)	575
Chapter A11.4	Master Direction – Foreign Exchange Management (Liberalised Remittance Scheme (LRS)), dated January 1, 2016 (Updated as on September 06, 2024)	582
Chapter A11.5	Master Direction – Foreign Exchange Management (Other Remittance Facilities), dated January 1, 2016 (Updated as on May 06, 2026)	598
Chapter A11.6	Master Direction – Foreign Exchange Management Acquisition or Transfer of Immovable Property under FEMA, dated January 1, 2016 [Updated as on September 01, 2022]	625
Chapter A11.7	Master Direction – Foreign Exchange Management (Remittance of Assets), dated January 1, 2016 (Updated as on June 29, 2026)	635
Chapter A11.8	Master Direction – Foreign Exchange Management (Deposits and Accounts), dated January 1, 2016 (Updated as on June 29, 2026)	640
Chapter A11.9	Master Direction – Foreign Exchange Management (Import of Goods and Services), dated January 1, 2016 (Updated as on January 12, 2026)	661
Chapter A11.10	Master Direction – (Reporting under Foreign Exchange Management Act, 1999), dated January 1, 2016 (Updated as on June 24, 2026)	687
Chapter A11.11	Master Direction – Foreign Exchange Management (Miscellaneous), dated January 1, 2016 (Updated as on May 13, 2026)	813
Chapter A11.12	Master Direction – Opening and Maintenance of Rupee/Foreign Currency Vostro Accounts of Non-resident Exchange Houses, dated January 1, 2016 (Updated as on December 22, 2022)	820
Chapter A11.13	Master Direction – Foreign Exchange Management (Establishment of Branch Office (BO)/ Liaison Office (LO)/ Project Office (PO) or any other place of business in India by foreign entities), dated January 01, 2016 (Updated as on May 18, 2021)	831
Chapter A11.14	Master Direction – Foreign Exchange Management (Insurance), dated January 1, 2016 (Updated as on December 07, 2021)	848
Chapter A11.15	Master Direction – Foreign Exchange Management (Money Transfer Service Scheme (MTSS)), dated February 22, 2017 (Updated as on November 28, 2025)	857
Chapter A11.16	Master Direction – Foreign Exchange Management (Foreign Investment in India), dated January 4, 2018 (Updated up to June 15, 2026)	870
Chapter A11.17	Master Direction – Foreign Exchange Management (External Commercial Borrowings, Trade Credits and Structured Obligations), dated March 26, 2019 (Updated as on February 16, 2026)	914
Chapter A11.18	Master Direction – Foreign Exchange Management (Hedging of Commodity Price Risk and Freight Risk in Overseas Markets) Directions, 2022. (Updated as on April 15, 2024)	920
Chapter A11.19	Master Direction – Foreign Exchange Management (Overseas Investment) Rules, 2022 (Updated as on April 01, 2026)	926
Chapter A12	Role of FEDAI in Foreign Exchange	947
Chapter A13	Foreign Exchange Rates	968
Chapter A14	Relevance of UCPDC 600 while dealing Import & Export of Goods and Services	996
Chapter A15	Foreign Direct Investment Policy (FDI Policy)	1022
Chapter A16.1	FAQs on International Trade Settlement in Indian Rupees (INR) (Updated as on April 16, 2026)	1112
Chapter A16.2	FAQs on Annual Return on Foreign Liabilities and Assets (FLA) under FEMA, 1999 (Updated as on July 01, 2026)	1114
Chapter A16.3	FAQs on Foreign Liabilities and Assets Information Reporting (FLAIR) – Online Web Based Reporting System (Updated as on March 25, 2026)	1125
Chapter A16.4	FAQs on External Commercial Borrowings (ECB) and Trade Credits (Updated as on February 16, 2026)	1141
Chapter A16.5	FAQs on Miscellaneous forex facilities (Updated as on November 28, 2025)	1142
Chapter A16.6	FAQs on Special Non-Resident Rupee Accounts (Updated as on January 16, 2025)	1146
Chapter A16.7	FAQs on Foreign Currency Accounts by Resident Individuals (Updated as on January 16, 2025)	1148
Chapter A16.8	FAQs on Accounts in India by Non-residents (Updated as on January 16, 2025)	1152
Chapter A16.9	FAQs on FAQs on Compounding of Contraventions under FEMA, 1999 (Updated as on October 01, 2024)	1160
Chapter A16.10	FAQs on Liberalised Remittance Scheme (Updated as on April 06, 2023)	1164
Chapter A16.11	FAQs on Purchase of Immovable Property (Updated as on April 06, 2023)	1171
Chapter A16.12	FAQs on Introduction of Legal Entity Identifier for Cross-border Transactions {Guidelines issued vide A.P. (DIR Series) Circular No. 20 dated December 10, 2021}	1175
Chapter A16.13	FAQs on Money Changing Activities (Updated as on October 21, 2021)	1177
Chapter A16.14	FAQs on Remittances [Money Transfer Service Scheme (MTSS) and Rupee Drawing Arrangement (RDA)] (Updated as on January 18, 2017)	1183
Chapter A16.15	FAQs on Liaison/Branch/Project Offices of foreign entities in India (As on December 26, 2016)	1186
Chapter A16.16	FAQs on Remittance of Assets (Updated as on September 02, 2016)	1190
Chapter A16.17	FAQs on Exchange Earner’s Foreign Currency (EEFC) Account (Updated as on 05.07.2016)	1193
Chapter A16.18	FAQs on Swap Window for attracting FCNR (B) Dollar funds (Updated as on September 18, 2013)	1196
Chapter A16.19	FAQs on Swap Facility for FCNR (B) deposits, External Commercial Borrowings and Overseas Foreign Currency Borrowings (Updated as on June 23, 2026)	1199

Volume II

Part-B

The Foreign Contribution (Regulation) Act, 2010 & Rules

Chapter Number	Description	Page Number
Chapter B1	The Foreign Contribution (Regulation) Act, 2010 (Act No. 42 of 2010) (Amended up to September 29, 2020)	1203
Chapter B2	The Foreign Contribution (Regulation) Rules, 2011 (Amended up to June 22, 2026)	1312
Chapter B3	Compliances under Foreign Contribution (Regulation) Rules, 2011 (Various Forms Prescribed under the FCRA)	1332
Chapter B3.1	Form FC 1 of Foreign Contribution (Regulation) Rules, 2011	1334
Chapter B3.2	Form FC 2 of Foreign Contribution (Regulation) Rules, 2011	1338
Chapter B3.3	Form FC 3A of Foreign Contribution (Regulation) Rules, 2011	1340
Chapter B3.4	Form FC 3B Foreign Contribution (Regulation) Rules, 2011	1346
Chapter B3.5	Form FC 3BB Foreign Contribution (Regulation) Rules, 2011	1351
Chapter B3.6	Form FC 3C of Foreign Contribution (Regulation) Rules, 2011	1355
Chapter B3.7	Form FC 4 of Foreign Contribution (Regulation) Rules, 2011	1361
Chapter B3.8	Form FC 5 of Foreign Contribution (Regulation) Rules, 2011	1370
Chapter B3.9	Form FC 6 of Foreign Contribution (Regulation) Rules, 2011	1372
Chapter B3.10	Form FC 6A of Foreign Contribution (Regulation) Rules, 2011	1377
Chapter B3.11	Form FC 6B of Foreign Contribution (Regulation) Rules, 2011	1379
Chapter B3.12	Form FC 6C of Foreign Contribution (Regulation) Rules, 2011	1381
Chapter B3.13	Form FC 6D of Foreign Contribution (Regulation) Rules, 2011	1383
Chapter B3.14	Form FC 6E of Foreign Contribution (Regulation) Rules, 2011	1385
Chapter B3.15	Form FC 6F of Foreign Contribution (Regulation) Rules, 2011	1387
Chapter B3.16	Form FC 7 of Foreign Contribution (Regulation) Rules, 2011	1388
Chapter B3.17	Form FC 8 of Foreign Contribution (Regulation) Rules, 2011	1390
Chapter B3.18	Form FC 9 of Foreign Contribution (Regulation) Rules, 2011	1392
Chapter B3.19	Form FC 10 of Foreign Contribution (Regulation) Rules, 2011	1394
Chapter B3.20	Form FC AA of Foreign Contribution (Regulation) Rules, 2011	1396
Chapter B4	The Foreign Contribution (Acceptance or Retention of Gifts or Presentations) Rules, 2012	1397

Part-C

The Foreign Trade (Development and Regulation) Act, 1992 & Rules

Chapter Number	Description	Page Number
Chapter C1	The Foreign Trade (Development and Regulation) Act, 1992 (Amended up to August 20, 2010)	1403
Chapter C2	The Foreign Trade (Regulation) Rules, 1993 (Amended up to April 17, 2015)	1450
Chapter C3	The Foreign Trade (Exemption from Application of Rules in Certain Cases) Order, 1993	1465
Chapter C4	The Safeguards Measures (Qualitative Measures) Rules, 2012	1471
Chapter C5	The Foreign Trade Policy (FTP) 2023	1481

Part-D

Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (COFEPOSA)

Chapter Number	Description	Page Number
Chapter D1	The Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (Amended up to June 25, 1993)	1567

Part-E

Smugglers and Foreign Exchange Manipulators Act, 1976 & Rules (SAFEMA)

Chapter Number	Description	Page Number
Chapter E1	The Smugglers and Foreign Exchange Manipulators (Forfeiture of Property) Act, 1976. (SAFEMA) (Amended up to April 4, 2021)	1595
Chapter E2	The Appellate Tribunal for Forfeited Property (Procedure) Rules, 1986	1624
Chapter E3	The Appellate Tribunal for Forfeited Property (Fees) Rules, 1987	1635
Chapter E4	The Smugglers and Foreign Exchange Manipulators (Receipt, Management and Disposal of Forfeited Property) Rules, 2006	1637
Chapter E5	The Appellate Tribunal for Forfeited Property (Procedure for Appointment of Chairman) Rules, 2016	1646
Chapter E6	Tribunal (Conditions of Service) Rules, 2021	1649

Part-F

Prevention of Money-laundering Act, 2002 & Rules

Chapter Number	Description	Page Number
Chapter F1	The Prevention of Money-laundering Act, 2002. (15 of 2003)	1673
Chapter F2	The Prevention of Money-Laundering (Receipt and Management of Confiscated Properties) Rules, 2005	1805
Chapter F3	The Prevention of Money-Laundering (Appeal) Rules, 2005	1808
Chapter F4	The Prevention of Money-Laundering (Forms, Search and Seizure or Freezing and the Manner of Forwarding the Reasons and Material to the Adjudicating Authority, Impounding and Custody of Records and the Period of Retention) Rules, 2005	1813
Chapter F5	The Prevention of Money-Laundering (Maintenance of Records) Rules, 2005	1827
Chapter F6	The Prevention of Money-Laundering (Manner of Receiving the Records Authenticated Outside India) Rules, 2005	1855
Chapter F7	The Prevention of Money-Laundering (The Forms and the Manner of Forwarding a Copy of Order of Arrest of a Person along with the Material to the Adjudicating Authority and its Period of Retention) Rules, 2005	1857
Chapter F8	The Prevention of Money-Laundering (The Manner of Forwarding a Copy of the Order of Retention of Seized Property along with the Material to the Adjudicating Authority and the Period of its Retention) Rules, 2005	1863
Chapter F9	The Prevention of Money-Laundering (Appointment and Conditions of Service of Chairperson and Members of Adjudicating Authorities) Rules, 2007	1873
Chapter F10	The Prevention of Money-Laundering (Appointment and Conditions of Service of Chairperson and Members of Appellate Tribunal) Rules, 2007	1878
Chapter F11	The Prevention of Money-laundering (Issuance of Provisional Attachment Order) Rules, 2013	1886
Chapter F12	The Adjudicating Authority (Procedure) Regulations, 2013	1889
Chapter F13	The Prevention of Money-laundering (Taking Possession of Attached or Frozen Properties Confirmed by the Adjudicating Authority) Rules, 2013	1908
Chapter F14	The Ministry of Finance, Adjudicating Authority under the Prevention of Money-laundering Act, 2002, Registrar, (Group ‘A’ post) Recruitment Rules, 2016	1915
Chapter F15	The Prevention of Money- laundering (Restoration of Confiscated Property) Rules, 2016	1920