https://www.taxtmi.com/circulars?id=67296 Consolidates RBI instructions on issuance, monitoring and honouring of bank guarantees and co acceptances: banks should prioritise financial guarantees, limit maturities (normally ten years), adopt Board approved policies for non constituent non fund facilities with full KYC/AML and credit appraisal, impose internal controls (dual signatures, reporting, periodic reviews), avoid large unsecured guarantees and guarantees enabling placement of funds with NBFCs, ensure prompt payment of invoked guarantees unless court restrained, and follow specific safeguards for export guarantees, overseas JV/WOS exposures, co acceptances and letters of credit while complying with FEMA and prudential norms. en-us Tue, 09 Nov 2021 00:00:00 +0530 Wed, 03 Apr 2024 15:41:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=67296 Consolidates RBI instructions on issuance, monitoring and honouring of bank guarantees and co acceptances: banks should prioritise financial guarantees, limit maturities (normally ten years), adopt Board approved policies for non constituent non fund facilities with full KYC/AML and credit appraisal, impose internal controls (dual signatures, reporting, periodic reviews), avoid large unsecured guarantees and guarantees enabling placement of funds with NBFCs, ensure prompt payment of invoked guarantees unless court restrained, and follow specific safeguards for export guarantees, overseas JV/WOS exposures, co acceptances and letters of credit while complying with FEMA and prudential norms. Circulars RBI Tue, 09 Nov 2021 00:00:00 +0530 https://www.taxtmi.com/circulars?id=67296