RBI decentralises more FEMA compounding applications to regional offices
RBI’s 23 October 2026 circular changes where applications concerning overseas investment, borrowing, lending and guarantees should be submitted.
RBI has delegated additional FEMA compounding powers to selected regional offices.
For overseas-investment contraventions, routing depends on the foreign entity’s UIN prefix. Applications without a UIN go to RBI’s Central Office CEFA in Mumbai.
Borrowing, lending and guarantee cases generally go to the regional office covering the applicant’s registered office or domicile. Lending or guarantees involving a foreign entity in which the applicant made ODI follow the overseas-investment routing instead.
Cases spanning categories delegated to different offices may be submitted to CEFA. This procedural change does not itself waive a contravention.
WHAT TO DO NEXT
Practical action
Identify the contravention, UIN and relevant office before filing. Check the circular and current Compounding Master Directions.
This summary is general information. Read the original publication and check subsequent amendments before acting. For advice on your specific facts, consult our office.
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