RBI Standardises FEMA Guarantee Reporting Framework

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  • Last Updated on 4 April, 2026

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RBI FEMA Guarantee Reporting

RBI/2026-27/02 | A.P. (DIR Series) Circular No. 01 dated 01.04.2026

The Reserve Bank of India (RBI) has introduced a standardised reporting mechanism for guarantees under the Foreign Exchange Management (Guarantees) Regulations, 2026, issued under FEMA, 1999, effective from 1st April 2026.

1. Introduction of Structured Reporting Forms

The RBI has prescribed specific forms for reporting guarantee-related transactions:

  • Form GRN Issue – for reporting issuance of guarantees
  • Form GRN Modification – for reporting any changes or amendments
  • Form GRN Invocation – for reporting invocation of guarantees

This structured format ensures consistency and completeness in reporting.

2. Submission Through CIMS Portal

Authorised Dealer (AD) banks are required to:

  • Submit guarantee-related returns through the CIMS (Centralised Information Management System)
  • File returns within 30 days from the end of each quarter

3. Unique Guarantee Transaction Number (UTN)

Each guarantee reported must be assigned a Unique Guarantee Transaction Number (UTN), enabling:

  • Tracking and monitoring of guarantees
  • Improved data integrity and audit trail

4. Objective of the Framework

The revised mechanism aims to:

  • Enhance transparency and traceability in guarantee transactions
  • Strengthen regulatory oversight under FEMA
  • Ensure uniform reporting practices across AD banks

5. Conclusion

The standardised reporting framework marks a significant step towards digitised, structured, and efficient monitoring of guarantee transactions, ensuring better compliance and regulatory control in foreign exchange operations.

Click Here To Read The Full Circular

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Author: Taxmann

Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.

The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:

  • The statutory material is obtained only from the authorized and reliable sources
  • All the latest developments in the judicial and legislative fields are covered
  • Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
  • Every content published by Taxmann is complete, accurate and lucid
  • All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
  • The golden rules of grammar, style and consistency are thoroughly followed
  • Font and size that's easy to read and remain consistent across all imprint and digital publications are applied