Dated October 31, 2005
Foreign Exchange Management (Deposit) (Second
Amendment) Regulations, 2005
In exercise of the powers conferred by clause
(f) of Sub-section (3) of Section 6, Sub-Section (2) of Section 47 of the Foreign
Exchange Management Act, 1999 (42 of 1999) the Reserve Bank of India makes the
following amendments in the Foreign Exchange Management (Deposit) Regulations,
2000 (Notification No. FEMA.5/2000-RB dated May 3, 2000) namely:-
1. Short Title & Commencement:-
(i) These Regulations may be called the Foreign
Exchange Management (Deposit) (Second Amendment) Regulations, 2005.
(ii) They shall come into force from July 26,
2. Amendment of the Regulations:-
In the Foreign Exchange Management (Deposit)
Regulations, 2000, in Schedule 2,
i. for paragraph 2, the following shall be substituted:-
'2. Designated Currencies : Deposit of funds
in the account may be accepted in such permissible currencies as may be designated
by the Reserve Bank from time to time'.
ii. for paragraph 3, the following shall be
'3. Type of account : These accounts may be
opened only in the form of term deposit with maturity of such period as may
be specified by the Reserve Bank from time to time'.
Chief General Manager
(i) The Principal Regulations were published
in the Official Gazette vide G.S.R.No.388 (E) dated May 5, 2000 in Part
II, Section 3, Sub-Section (i) and subsequently amended vide No.G.S.R.262(E)
dated April 9, 2002, No.G.S.R. 577(E) dated August 19, 2002, No.G.S.R. 855(E)
dated December 31, 2002, No.G.S.R.494(E) dated August 4, 2004 and No.G.S.R.
221(E) dated April 7, 2005:
(ii) @ It is clarified that no person
will be adversely affected as a result of retrospective effect being given
to such regulations.