Abhinay Kumar (Company Secretary) (38 Points)
08 October 2010Dear Folks,
Could you please help me to get out the rules/regulation/procedures of FEMA for making loan to a foreign company by an indian company without having any relationship of subsidiary/JV etc.
CA. Anuj Gupta
(Practices in NRI Int.Tax FEMA TP FDI/FIPB & FCRA)
(7024 Points)
Replied 15 May 2011
Indian Resident may lend out of EEFC A/c (Exchange Earners’ Foreign Currency A/c) for trade related purposes to overseas importer customer. In case such lending is more than USD 100,000 the same should be supported by guarantee from a bank of international repute situated outside India in favor of Indian lender.
CHANDRARAM V
(COMMERCIAL OFFICER)
(26 Points)
Replied 05 September 2022
Can a company in India provide a loan to a inter company in foreign territory and the director of the company for both the companies are one.
CAclubindia
