FEMA Query

Dear Sir I am certain the FEM (Borrowing & Lending of Foreign Exchange) Rules would apply. There is a circular regarding borrowing from "close relatives" - but you mention close friend which would not be covered there in. Unfortunately I don't have access to the FEMA online website - I would suggest taking up a subscription and looking up the rules. Perhaps some other members could chip in. Regards.

Many a times an UN-related friend helps rather than family/relatives members ; hence one needs to represent with the RBI for a amendment to this end, ie.,provide for general permission to borrow from any overseas entity/ atleast a PIO (incl. of non-relative) to the extent presently permitted = US$250,000- per annum.

My client is a registered Society (Charitable Institution) and is registered under the Foreign Contribution Regulation Act. Now it wishes to take a foreign loan (interest free) for some charitable activities. Could you please advise what are the formalities it has to follow before availing the loan?