Industries Department

FAQ on Foreign Exchange Transactions

Where are the guidelines pertaining to overseas investment available?

The guidelines have been notified by Reserve Bank of India vide Notification No. FEMA 19 dated May 3, 2000, as amended from time to time, which can be accessed at the Reserve Bank's website . A Master Circular entitled Indian Direct Investment in JV/WOS Abroad dated July 1, 2004, which is a compendium of all notifications/circulars incorporating the developments, till that date, is also available at the website

Where can one get clarifications pertaining to the guidelines on overseas investment?
What is direct investment outside India?
Does the definition as given in Q.3. mean that one cannot acquire an existing company either partially or wholly?
Who is eligible to make overseas direct investment?
Can overseas direct investment be made in any activity?
What are the prohibited activities for overseas direct investment?
What exactly is covered under the term real estate business?
What are the schemes under which an eligible entity can set up a JV or WOS abroad?
What is the Automatic Route?
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Tamil Nadu Industrial Guidance & Export Promotion Bureau
( Industries Department - Govt. of Tamil Nadu )
19-A, Rukmani Lakshmipathy Salai, Egmore, Chennai - 600 008. INDIA

Phone: +91-44-2855 3866 | Fax: +91-44-2855 3856 |

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