|RBI/2014-15/330 DNBR (PD).CC. No. 005 /03.10.42/2014-15||December 01, 2014||Amendment to Prevention of Money-laundering (Maintenance of Records) Rules, 2013||A new definition of Designated Director has been added and other definitions have undergone changes like Officially Valid Document now includes only the documents mentioned in the rule or any other document as notified by the Central Government in consultation with the Regulator so the discretion given to NBFCs earlier has been withdrawn, definition of transaction and cash transactions has been broadened, NBFCs now may maintain records of the identity of clients, and records in respect of transactions with its clients in hard or soft format and a set of instructions for low risk customers has been notified. These rules also fill the gaps caused due to non existence of instructions on relaince on third party due diligence. The amenments have been made to rules regarding the accounts of an individual, companies, partnership firms, trusts, foundations and unincorporated association or body of individuals.|
|RBI/2014-15/333 DPSS.CO.PD.No.980/02.14.006/2014-15||December 03, 2014||Relaxations issued for Issuance and Operation of Pre-paid Payment Instruments (PPIs) in India||For ensuring growth of the prepaid payment industry, the limit of PPI that can be issued has now been enhanced from Rs. 50,000 to Rs.1,00,000/- but the balance in the PPI is not to exceed Rs. 1,00,000/- at any point of time, the maximum validity of gift cards has been enhanced to three years, a new category of open system prepaid payment instrument has been introduced 'KYC compliant bank accounts for dependent/family members','Rupee denominated PPIs issued by banks for visiting foreign nationals and NRIs', subject to conditions specified.|
|RBI/2014-15/341 A.P. (DIR Series) Circular No.47||December 8, 2014||Review of FDI policy for Railway Infrastructure||Department
of Industrial Policy and Promotion (DIPP) has now permitted 100% FDI in
railway Infrastructure sector under automatic route subject to conditions in
certain activities of the Railway
Transport sector like 'Construction, operation and maintenance of Suburban corridor projects through PPP, High speed train projects, Dedicated freight lines, Rolling stock including train sets, and locomotives/coaches manufacturing and maintenance facilities, Railway Electrification, Signaling systems, Freight terminals, Passenger terminals, Infrastructure in industrial park pertaining to
railway line/sidings including electrified railway lines and connectivities to main railway line and Mass Rapid Transport Systems. Further, FDI beyond 49 of the equity of the investee company in sensitive areas from security point of view need to be brought before the Cabinet Committee on Security (CCS) for consideration.
|RBI/2014-15/340 A.P. (DIR Series) Circular No. 46||December 08, 2014||Review of FDI policy for Defence||A list of defence items as finalised by Department of Defence Production, Ministry of Defence has clarified that items not in the list would not require industrial license for defence purposes. The Security Manual for Licensed Defence Industry has been finalised. Further FDI, FIIs, RFPIs, NRIs, FVCIs and QFIs upto 49% under government route are now permitted subject to the conditions in Press Note 7 (2014 Series). Portfolio investment (RFPI/FII/NRI/QFI) and FVCI investment are capped at 24% of the total equity of the investee company and will be under automatic route. Also, the listed investee company engaged in defence sector shall immediately allocate limits for portfolio investment for RFPI (including QFI and FII), NRI (not exceeding 10%) and FVCI within the default portfolio investment limit of 24% being permitted now and approach Reserve Bank, Central Office, Foreign Investment Division, Mumbai so that allocated limits can be monitored.|
|RBI/2014-2015/344 A.P. (DIR Series) Circular No.48||December 09, 2014||Overseas Investments by Alternative Investment Funds permitted||On
a review, it has been decided to permit an Indian Alternative
Investment Fund (AIF), registered with Securities and Exchange Board of India (SEBI), to invest overseas.
|RBI/2014-15/354 DBR.No.BP.BC.53/21.04.132/2014-15||December 15, 2014||Flexible Structuring of Existing Long Term Project Loans to Infrastructure and Core Industries||RBI
allowed scheduled commercial banks (excluding local area banks
and regional rural banks) to flexibly structure the existing project loans to infrastructure projects and core industries projects with the option to periodically refinance these loans as per certain norms.
|RBI/2014-15/357 A.P. (DIR Series) Circular No.49||December 16, 2014||– Delegation of work to Regional Offices- Submission of Statements / Returns of Money Transfer Service Scheme||A clarification has been issued to a circular issued in July, 2014 [A.P. (DIR Series) Circular No. 8 of July 18, 2014] that subsequent to delegation of Money Transfer Service Scheme (MTSS) work, all Authorised Persons, who are Indian agents under MTSS are required to make all their correspondence with Reserve Bank including submission of prescribed statements to the Regional Office of the Foreign Exchange Department of the Reserve Bank, under whose jurisdiction their registered offices function instead to the Central Office.|
|RBI/2014-15/360 A.P. (DIR Series) Circular No.51||December 17, 2014||Foreign Exchange Management (Deposit) Regulations, 2000||With the objective of bringing all the multilateral organisations at par, for opening of accounts in India, it has been decided to include the exemptions laid down in Foreign Exchange Management (Deposit) Regulation, 2000 (Notification No. FEMA 5/2000-RB dated May 3, 2000) i.e. deposits held in accounts maintained with an authorised dealer by any multilateral organization of which India is a member nation, and its subsidiary/affiliate bodies in India, and its or their officials in India.|
|RBI/2014-15/361 FMRD.FMID.01 /14.01.02/2014-15||December 19, 2014||F-TRAC – Counterparty Confirmation waivered||Reporting of OTC trades in Commercial Papers, Certificate of Deposits and OTC repo trades in corporate debt securities, CPs, CDs and non-convertible debentures (NCDs) of original maturity less than one year on F-TRAC which had to be physically confirmed by the back offices of the counterparties has been amended and the requirement of exchange of physical confirmation of trades matched on F- TRAC has been waived subject to conditions laid down in the notification. Further, such waiver will also be subject to review in case of any change in ownership of the F-TRAC platform or reporting arrangements.|
|RBI/2014-15/362 DBR.No.CID.BC.54/20.16.064/2014-15||December 22, 2014||Measures in classifying/declassifying a non-cooperative borrower and reporting to Central Repository of Information on Large Credits||New measures have been issued for classifying or declassifying a borrower as a non-cooperative borrower and reporting information on such borrowers to the Central Repository of Information on Large Credits (CRILC).|
|RBI/2014-15/371 A.P. (DIR Series) Circular No.54||December 29, 2014||Liberalization of Overseas Direct Liberalization for Investments by Indian Party||In order to grant more flexibility to the Indian party regulations relating to Creation of charge on shares of JV / WOS / step down subsidiary (SDS) in favour of domestic / overseas lender, domestic assets in favour of overseas lenders to the JV / WOS / step down subsidiary, overseas assets in favour of domestic lender have been liberalized.|
|RBI/2014-15/372 DBR. AML. No. 9644 /14.07.018/2014-15||December 30, 2014||Inter-Governmental Agreement with United States of America under Foreign Accounts Tax Compliance Act||To avoid withholding tax, the Government of India has advised that Foreign Financial Institutions (FFIs) in India need to register with IRS and obtain a Global Intermediary Identification Number (GIIN) before January 1, 2015. The FFIs who have registered but have not obtained a GIIN should indicate to the withholding agents that the GIIN is applied for, which may be verified by the withholding agents in 90 days.|
|RBI/2014-15/374 DBR.IBD.No.9745/23.13.001/2014-15||December 31, 2014||Revised format of reporting for Representative Offices of Foreign Banks in India to the RBI||It has been decided that representative offices of foreign banks in India will now use the revised format of reporting to the Reserve Bank of India.|