Clarifications regarding FDI & RBI Press Note No.2 (2005 series) issued u/s 6.2 of FEMA

In order to bring in the precious foreign exchange under the new initiatives of the Central Government and to support property development in India to International Standards such IBC & BS, ALMCO as resident person as per FEMA Sec. 2(u) & S.2(v)(ii) accepted Foreign Direct Investment (FDI) and duly informed to RBI through Category I Authorized Dealer (AD) State Bank of India under a standard format as per the form  “FC-GPR” published by RBI to get information for the transactions covered under FEMA Sec. 6.3(b).

As a property development company with various similar projects & resort developments in other countries, we are well aware that we can develop World class townships, malls, residential units and plots with 100% ready to live infrastructure.  We have understood that real estate (pl. ref. FEMA reg 4. and reg.6), agriculture and plantation (exceptions as per press note 7, 2008) activities are not permitted. Hence, ALMCO is not engaging in or propose to engage in any of the prohibited activities and would like to do every business in accordance to the Government norms.

Due to our deep interest to serve the nation and to provide better townships to fellow citizens in accordance to the set standards, we first got working knowledge of RBI circulars & notifications issued under Sec. 6.2 to know permissible capital account transactions and the limit up to which foreign exchange shall be admissible for such transactions. ALMCO would like to abide and work in line with the Government policies and procedures to attract FDI.

In accordance to the press note no. 2 (2005 series), we have got FDI in 100% automatic route to do the property development. We are willing to work in India and planning to bring more FDI in near future to bring growth in long term basis.