Ministry of Finance
Indian International Economic Service (IIES)

Notification No. IIES/FIN/INTL/NOC/2025-26
Date: 07 October 2025

Guidelines for Issuance of No Objection Certificate (NOC) for International Funds

In accordance with the instructions issued by the Ministry of Finance, Government of India, the Indian International Economic Service (IIES) shall regulate and supervise the issuance of the No Objection Certificate (NOC) for all international or foreign-origin monetary inflows belonging to Indian and non-Indian origin citizens. The following step-by-step procedure and compliance guidelines must be strictly adhered to by all applicants seeking NOC for international funds.

I. Objective of NOC Issuance

The purpose of the NOC is:

  • To verify and approve the legitimacy of all international funds received within India.
  • To ensure compliance with the Foreign Exchange Management Act (FEMA), Foreign Contribution Regulation Act (FCRA), and other financial laws.
  • To prevent misuse of foreign funds and maintain transparency in cross-border financial transactions.
  • To grant official clearance for withdrawal, transfer, or utilization of international funds.

II. Eligibility Criteria

1. Eligible Persons:

  • Indian Citizens.
  • Non-Resident Indians (NRIs).
  • Persons of Indian Origin (PIOs).
  • Registered Organizations, Trusts, or Companies receiving funds from abroad.

2. Nature of Funds Covered:

  • Foreign Investment (FDI / Venture Capital).
  • Foreign Donations / Grants.
  • International Aid or Scholarships.
  • Inheritance or Personal Remittance from abroad.

III. Step-by-Step NOC Process

Obtain Payment Ledger Book

The applicant shall apply to the Indian International Finance Commission (IIFC) for a Payment Ledger Book.

The ledger will include details such as:

  • Source country of the funds,
  • Total amount received,
  • Mode of transfer (SWIFT / Wire / PayPal / Bank Transfer / Payment Gateway),
  • Purpose of remittance,
  • Beneficiary's account details.

Without this ledger, no NOC application shall be accepted.

Financial Audit by NFRA

The applicant must submit the ledger copy to the National Financial Reporting Authority (NFRA) for verification.

NFRA will conduct a financial compliance audit to confirm:

  • Legitimacy of the source of funds.
  • Proper documentation under FEMA & FCRA.
  • No association with any restricted or blacklisted entity.

After verification, NFRA will issue a Certificate of International Revenue Accounting and Financial Compliance.

Apply for Form-28 Certificate

Upon receiving NFRA clearance, the applicant must apply to the Indian International Finance Commission (IIFC) for a Form-28 Certificate.

This certificate officially recognizes the fund as legally valid under the Government of India's financial framework.

Payment of NOC Fee

After approval of Form-28, the applicant must deposit the NOC Fee prescribed by the IIES.

The fee is calculated annually based on the total amount and category of the international funds.

Payment can be made through:

  • The IIES official online portal, or
  • Direct payment at the IIFC Treasury Office.

A digital receipt must be retained for submission with the final application.

Issuance of Final NOC (Form-28B)

Once the NOC fee has been successfully paid, the Final No Objection Certificate (Form-28B) shall be issued by IIES.

This certificate serves as official confirmation that:

  • All legal and financial clearances have been completed.
  • The international fund is free from any governmental restrictions.
  • Withdrawal or utilization of the funds may legally commence.

IV. Important Notes and Compliance Requirements

  1. Any discrepancy found during verification may lead to suspension or rejection of the NOC application.
  2. Funds originating from jurisdictions classified as high-risk or non-cooperative by the Financial Action Task Force (FATF) shall undergo enhanced scrutiny.
  3. The NOC is valid for 12 months from the date of issuance. Renewal is required if the fund remains unutilized.
  4. All applicants must maintain transaction records for a minimum of five years for audit and inspection purposes.
  5. Misrepresentation of facts, falsified documents, or misuse of NOC will attract penal action under Section 13 of the Prevention of Money Laundering Act (PMLA) and relevant provisions of the FEMA Act.