Foreign Companies who have been awarded a contract to execute a project in India, select the mode of execution of the project, through project offices duly registered with the Reserve Bank of India (RBI) and the Registrar of Companies (ROC). ‘Project Office’ also represents the interests of the foreign company executing a project in India as in the case of Liaison Office with the only difference, that Project Office can undertake commercial activities related to the particular project whereas the liaison office cannot.
Eligibility
A foreign company may open project office/s in India provided it has secured from an Indian company, a contract to execute a project in India, and
Note: RBI has given general permission for opening of Project Office in India if the above conditions are satisfied. However, if any entity resident in Pakistan, Bangladesh, Sri Lanka, China, Macau and Hong-Kong desires to open project office in Jammu & Kashmir, North Eastern States and Andaman and Nicobar islands, approval is granted by RBI in consultation with Government of India. In all other cases Authorised Dealer Category-I banks are empowered to grant approval.
Time Limit for Opening PO
Validity of PO
The PO remains valid for the entire tenure of the project (till the project is completed or wound up).
Foreign Currency Accounts by PO
POs can open non-interest bearing foreign currency accounts with AD Category – I banks subject to the following:
Remittance of Profit or Surplus
Authorized Dealer Category – I bank may permit intermittent remittances by project offices pending winding up / completion of the project subject to submission of certain prescribed documents.
Filing Annual Activity Certificate
The Annual Activity Certificate (AAC) shall be submitted by the following:
Time Limit for Filing AAC
Our Services
Our specialized team handling the matters related to establishment of Project Office in India offers our clients extensive support towards registration with RBI and ROC. Our scope of services includes: –
For appointment and discussion of your case, please visit our ‘Contact us’ page.