RBI Eases Forex Rules for Startups

The RBI amended the Foreign Exchange Management Regulations, 2024, aligning with DPIIT’s 2019 startup definition. This allows more startups to open and maintain foreign currency accounts.

Startup eligibility was previously limited to five years and INR 25 Cr turnover. The new rules extend this to ten years and INR 100 Cr.

The changes simplify forex processes for DPIIT-recognised startups, offering benefits like tax exemptions and reduced compliances.

Over 1.5 Lakh DPIIT-registered startups can now access improved forex rules to support growth and global transactions.