RBI clarifies individuals exempted from new foreign exchange reporting rules

Reserve Bank of India Governor Sanjay Malhotra clarified that individuals undertaking forex transactions for personal purposes are exempt from new FEMA reporting rules.

The regulations, notified in January and effective October 1, 2026, do not require personal imports, exports, or personal earnings and spending in foreign exchange to be directly reported by individuals.

Small exporters with bills up to ₹10 lakh can utilize a self-declaration and invoice route, while authorized banks will handle direct filings on the IEDPMS portal.