RBI eases deposit norms for foreign missions, diplomats

Relaxing deposit regulations, the Reserve Bank  on Thursday allowed foreign diplomatic missions and diplomatic personnel, their family members to open rupee or foreign currency accounts without any restrictions. RBI said it has repealed and superseded regulations under the Foreign Exchange 

Management (Deposit) Regulations, 2000, in consultation with government.

"Accordingly, in consultation with Government, the said regulations have been repealed and superseded by the Foreign Exchange Management (Deposit) Regulations, 2016, hereinafter referred to as Deposit Regulations", it said in a notification.

"In terms of...Deposit Regulations, no restriction under these regulations shall be applicable for opening of rupee/ foreign currency deposit accounts by foreign diplomatic missions and diplomatic personnel or their family members in India with an Authorised Dealer in India", RBI said.

Also, no restrictions will be placed on deposits in rupees maintained by residents of Nepal and Bhutan and on any multilateral organisation, of which India is a member nation. It will also cover the subsidiary/affiliate bodies and officials of such organisations in India, RBI said.