January 19, 2004
Setting up of Branch Office in SEZs
In another move aimed at attracting foreign investors, the Reserve Bank of India ("RBI") has simplified the regulations relating to the setting up of branch offices in India, subject to compliance with certain parameters.
The RBI has modified the Foreign Exchange Management (Establishment in India of Branch or Office or other Place of Business) Regulations, 2000 by granting a general permission to foreign companies to establish branch offices/Units in Special Economic Zones ("SEZ") to undertake manufacturing and service activities, subject to the fulfillment of the following conditions:
Source: RBI A.P (DIR Series) Circular No.58
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