FOREX

• FOREX Means Foreign Exchange. 
• FOREX market was regulated by RBI.
• RBI supervises and regulates FOREX through the provisions of the Foreign Exchange Management Act, 1999.
• Exchange control was introduced in India under Defense of India rules on Sep 3 1939 on temporary basis.
• Foreign Exchange Regulation Act (FERA),1947 was introduced with statutory power for exchange control.
• FERA Act, 1947 was replaced by Foreign Exchange Regulation Act, 1973.
• this act empowered RBI and Central government to control and regulates dealing in foreign exchange payments outside India, import and export of currency notes and bullion, transfer of security between resident and non resident indians etc...
• when liberalization came into force on 1991 FERA act was amended as Foreign Exchange Regulation (Amendment) act, 1993. 
• then FERA act was replaced by Foreign Exchange Management Act(FEMA), 1999 came into effect from June 1,2000.