FEMA Guarantee Regulations, 2026: Reshaping Cross-Border Guarantees And Business Structures In India
Introduction A cross-border guarantee is easy to describe but difficult to regulate. No money necessarily moves when it is issued; yet, on invocation, a contingent promise can become an immediate foreign-exchange liability. The Foreign Exchange Management (Guarantees) Regulations, 2026 (hereinafter “the 2026 Regulations”) respond to this problem by replacing the Foreign Exchange Management (Guarantees) Regulations, […]
