Govt announces Foreign Exchange Rules 2024 to simplify investments, ease of doing business – ThePrint – ANIFeed

New Delhi (India), September 13 (ANI): The Finance Ministry on Thursday announced new Foreign Exchange Trading (Compounding Proceedings) Rules, 2024, which aims to simplify rules and regulations for foreign investments.

The Finance Ministry said in a statement: “As part of a broader initiative to streamline and rationalise existing rules and regulations to further facilitate ease of doing business, the rules of conduct filed in consultation with the Reserve Bank of India have been comprehensively reviewed.”

The new rules will replace the existing Foreign Exchange (Compoundings) Rules 2000.

The ministry said the government is focusing on simplifying regulations to speed up and streamline the processing of grant applications.

The Ministry of Finance is also working on introducing digital payment options for application fees and amounts submitted, with an emphasis on simplifying and rationalising regulations to eliminate ambiguities and clarify the process.

“These changes demonstrate the government’s commitment to promoting ease of investment for investors and ease of doing business for enterprises,” the ministry said in a statement.

The Foreign Exchange Interest Management Act (FEMA) Procedure Rules, 2000 govern the process for adjudication or settlement of offences relating to the contravention of the Foreign Exchange Management Act (FEMA), 1999.

According to these principles, the charging of interest allows individuals or legal entities to admit a violation and pay a penalty in order to avoid lengthy legal or criminal proceedings.

The decision comes after Finance Minister Nirmala Sithraman emphasised that the government will prioritise foreign investment in the country and that it will come up with flexible policies to support it.

The finance minister in her budget speech indicated that the rules and regulations relating to foreign direct investment and foreign investment will be simplified to facilitate foreign direct investment, speed up prioritisation and promote opportunities for using the Indian rupee as a currency for foreign investment. (ANI)

This report is generated automatically by ANI news service. ThePrint is not responsible for its content.