RBI relaxes norms for Indians bidding for foreign currency projects

Mumbai, Apr 28 (UNI) The Reserve Bank of India today withdrew prior permission sought to be received by Indian bidders to take up Foreign currency projects in India under International competitive bidding.

In a notification issued here today, the RBI said in a review, and as a measure for procedural simplification, it has been decided, in consultation with Government of India, that the prior permission of Administrative Ministry / Authorisation from Central Government may not be necessary for International Competitive Bidding (ICB).

Accordingly, resident Indians were now permitted to incur liability in foreign exchange and to make or receive payments in foreign exchange in respect of global bids for projects to be executed in India without insisting on prior approval of the concerned Administrative Ministry for the International Competitive Bidding.

However, these projects should have been authorised by the Central government and the necessary approval received from concerned administrative ministry, the RBI said.

UNI VK SR AG1933