The International Financial Services Centre Authority (IFSCA) on December 13, 2024, issued directions to IBUs for operations of the Foreign Currency Accounts (FCA) of Indian resident individuals opened under the Liberalised Remittance Scheme (LRS).
The following has been stated: -
•The circular outlines guidelines for opening and managing Foreign Currency Accounts (FCA) for Indian resident individuals under the Liberalised Remittance Scheme (LRS) in International Banking Units (IBUs).
•It covers the permissible uses of FCA funds, including remittances to and from other jurisdictions, compliance with anti-money laundering regulations, and financial services within International Financial Services Centres (IFSCs).
•IBUs must ensure digital access for FCA transactions and report their operations to the Authority.
•The circular also supersedes earlier guidelines issued in October 2024.
The detailed circular is given in the document below.
[Circular No. F. No. IFSCA-FMPP0BR/1/2021-Banking-Part (1)/3]
