Not only an individual but an Indian company can also borrow from a foreign national or a Non- resident Indian (NRI). … The RBI is responsible for and overseas all lending and borrowing between residents of India and non- resident Indians.
Can Indian company take loan from non-resident?
A company incorporated in India under the Companies Act can borrow money from an NRI and the borrowing can be both on repatriable and non-repatriable basis, ie the loan amount can be repaid either in India or the loan amount can be repatriated to the bank account of the NRI maintained outside India.
Can I take loan from foreign?
A company can get a soft loan through two routes- the automatic route and the government route: Automatic Route: Under the automatic route, the borrower can get a loan from a foreign entity without a prior approval from the Reserve Bank of India. However, here the loan agreement has to be registered with the RBI.
Can a foreign director give loan to Indian company?
Yes it is allowed. A company cannot give loan to director without paying tax but a director can give loan to a company.
Can a private company take loan from NRI?
No, The NRI can’t give loan to Indian Company either in foreign currency or in rupees.
Can a company take loan from foreign company?
Loans from foreign companies can be availed by Indian companies and entities. However, entities have to comply with the provisions related to foreign exchange management act. … An Indian entity can acquire a loan from a foreign company under two routes of investment.
Can I take loan from NRE account?
NRIs can get the personal loan amount from the bank in their NRE or NRO accounts. Most lenders provide the loan amount in Indian rupees. However, some banks also provide these loans in foreign currency. You may check the lender to know about the mode in which the loan amount is disbursed.
Can I get loan from USA to India?
Federal student loans are fairly famous among US students but they are not available for Indian or any other international students. Instead, they can apply for international students loan. Studying in Canada is often more affordable, but still beyond the reach of many without additional help.
Can foreign company give guarantee to Indian company?
As per Regulation 5(b) of the Foreign Exchange Management (Guarantees) Regulations, 2000, “a company in India promoting or setting up outside India, a joint venture company or a wholly owned subsidiary, may give a guarantee to or on behalf of the latter in connection with its business: Provided that the terms and …