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Policy Framework for Cross border transactions

Introduction

Reserve Bank of India in its directive issued through FEDAI (Ref 138/F 207/2026, dated 29 April 2026), has underscored the need for greater transparency, efficiency and customer centered service in the handling of cross border remittance transactions by Authorised Dealers. The policy sets clear documentation standards, detailed process flows, charge schedules, processing timelines, an escalation matrix, and a robust feedback mechanism, followed by BNP Paribas, India (“The Bank”) thereby ensuring that corporate customers receive consistent, fair and timely service while the bank remains fully compliant with regulatory expectations.

This policy is to be read in conjunction with the latest FEMA 1999 regulations and any other rules, regulations, directions, notifications, circulars, policies etc. issued by Reserve Bank of India or any other regulatory authorities, and as updated from time to time, as applicable.

Regulations and Guidelines

  • Master Direction on Miscellaneous Remittances from India – Facilities for Residents
  • Master Direction on Liberalized Remittance Scheme
  • Master Direction on Remittance Facilities for Non-Resident Indians / Persons of Indian Origin / Foreign Nationals
  • Master Direction on Non-Resident Ordinary Rupee (NRO) Account
  • Master Direction on Deposits and Accounts
  • Master Direction on Acquisition or Transfer of Immovable Property
  • Master Direction on Remittance of Assets
  • Master Direction on Insurance
  • Master Direction on Direct Investment by Residents in Joint Venture (JV) / Wholly Owned Subsidiary (WOS) Abroad
  • Master Direction on External Commercial Borrowings and Trade Credits
  • Master Direction on Foreign Investment in India
  • Master Direction on Establishment of Branch Office (BO)/ Liaison Office (LO)/ Project
  • Office (PO) or any other place of business in India by foreign entities
  • Other Relevant RBI guidelines
  • FEDAI guidelines
  • Exchange Control Regulations prescribed in FEMA.
  • Clearing rules prescribed for RTGS / NEFT.
  • RBI circular RBI/2018-2019/145 dated March 20, 2019, on Compilation of R-Returns: Reporting under FETERS for Revised Form A2 with effect from 1st April 2019
  • Revised FEDAI Rules – 10th Edition in force from 1st April 2019
  • and any other regulations, directions, circulars as issued by RBI or any other regulatory authority, as applicable and as updated from time to time.

Documentation

The following table lists the minimum (high level) documents that must be provided for each category of cross border transactions (A2 Remittances). These documents enable the bank to initiate processing in line with regulatory directives. Depending on the outcome of the bank’s due diligence review, additional documents may be required on a case by case basis to support the case. The bank will promptly inform the customer of any such additional requirements, the reasons for the same, and the revised processing timeline.

Click here for documentation for cross border remittance transactions

Process Flow

Upon receipt of a cross border Outward remittance request from customer, Bank will conduct a comprehensive due diligence review to verify compliance with the Foreign Exchange Management Act (FEMA), Anti Money Laundering (AML) requirements, and all applicable guidelines, directions, circulars issued periodically by the regulator, as well as the Bank’s own internal and group policies, as updated from time to time.

In case of cross border Inward remittance, the Bank will intimate the details to the customer to provide the disposal instructions along with the purpose of remittance in the Bank’s standard format. Basis the disposal instructions received from the customer, and subject to the satisfaction of the Bank based on the due diligence on bonafied of the transaction, the bank will proceed with handling of the Inward remittance in accordance with the regulations and the Bank’s own internal and group policies.

Charges

Standard charges for the various services offered by the bank are available on the banks, India website, as updated from time to time, unless otherwise agreed specifically with the Customer.

Please find the schedule of charges for transactions offered by BNP Paribas India

Approval Matrix

The Bank performs relevant due diligence checks as per the agreed Standard Operating Procedures to their satisfaction and confirms whether the documents submitted comply with the applicable regulations, directions and the said policy. Every transaction is examined by a minimum of two independent bank staff members to ensure adequate due diligence. Deviation if any will be subject to Bank’s internal authorization matrix duly approved by the Management committee of the Bank, and as updated from time to time.

Turn Around Time (TAT)

Provided that all the documents are presented to the Bank to their complete satisfaction to perform the due diligence before the agreed cut off time, the transaction will be processed by the Bank on the same day subject to compliance with extant FEMA guidelines and other applicable regulatory requirements, including sanctions screening. For the detailed cut off time, you may contact the relevant Branch of BNP Paribas, India.

Escalation Matrix and Grievance Redressal Mechanism

At BNP Paribas, we strive to provide our clients with the highest possible standards of service. If for any reason the customer is not entirely satisfied with our service, products or employees, they can contact the assigned Relationship Manager, Desk Head or usual BNP Paribas contact person.

Click here for bank’s Escalation Matrix and Grievance Redressal Mechanism.