Current · Source: Reserve Bank of India · RBI/2012-13/129 · issued 12 Jul 2012 · ~1 min read
Quick answerRBI has revised the purpose codes in Form A-2 for remittances abroad, aligning them with updated R-Return codes. ADs must use the new list annexed to the circular for all applications.
The rule, in the simplest words
Banks must use the updated purpose codes for remittance applications to maintain consistency with R-Return reporting.
The revised list of purpose codes is annexed to this circular and must be used by applicants remitting funds abroad.
Banks must train staff handling remittance applications on the updated codes and update internal systems and forms to reflect the new purpose codes.
How it plays out — a real example
Rashmi, a forex & trade-finance officer in Indore, ensures that all remittance applications from her branch use the updated purpose codes to maintain consistency with R-Return reporting. She trains her staff on the new codes and updates their internal systems to reflect the changes. This helps streamline foreign exchange transaction reporting for her bank.
What changed
RBI updated the purpose codes appended to Form A-2, following a revision of R-Return purpose codes in February 2012. The revised list is now annexed to this circular for use by applicants remitting funds abroad.
What it means for you
Banks must ensure that all remittance applications use the updated purpose codes to maintain consistency with R-Return reporting. This reduces data mismatches and streamlines foreign exchange transaction reporting for ADs.
What you must do
Replace old Form A-2 purpose codes with the revised list annexed to this circular.
Train staff handling remittance applications on the updated codes.
Update internal systems and forms to reflect the new purpose codes.
Ensure that all remittance applications use the revised codes as per the circular.
Who it affects
Authorised Dealers in foreign exchange, Bank branches handling outward remittances, Compliance and forex operations teams
❓ Common questions
Why was the A-2 form revised?
The revision aligns purpose codes in Form A-2 with updated R-Return codes issued in February 2012, ensuring consistency in reporting foreign exchange transactions.
When must banks start using the new form?
Banks should use the revised Form A-2 with the annexed purpose codes as per the circular dated July 12, 2012.
What happens if we use old codes?
Using outdated codes may cause mismatches in R-Return submissions and non-compliance with FEMA directions under Section 10(4) and 11(1).
📜 Read the original circular — full text as issued by RBI
RBI/2012-13/129
A.P. (DIR Series) Circular No. 5
July 12, 2012
To
All Authorised Dealers in Foreign Exchange
Madam/ Sirs,
Foreign Exchange Management Act, 1999 –
Submission of Revised A-2 Form
Attention of Authorised Dealers (ADs) is invited to A.P. (DIR Series) Circular No.77 dated March 13, 2004 , in terms of which guidelines for compilation of various R-Returns were issued to the Authorised Dealers. The purpose codes for foreign exchange purchase/ sale transactions, used for filling up of the cover page of R-Return have since been revised, vide A.P.(DIR Series) Circular No. 84 dated February 29, 2012 .; It has therefore become necessary to revise the list of purpose codes appended to Form A-2 also. The revised list of purpose codes along with Form A-2 are thus annexed for use by the applicants for remittance of funds abroad.
2. The directions contained in this circular have been issued under Section 10(4) and Section 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999).
Yours faithfully,
(Rashmi Fauzdar)
Chief General Manager
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2012-13/129 · issued 12 Jul 2012. The plain-English explanation above is BankPulse’s own independent summary.
Train staff handling remittance applications on the updated codes.
Update internal systems and forms to reflect the new purpose codes.
Ensure that all remittance applications use the revised codes as per the circular.
📜 Compliance
Replace old Form A-2 purpose codes with the revised list annexed to this circular.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template
Example: if you are a Compliance officer at a bank this circular applies to (Authorised Dealers in foreign exchange, Bank branches handling outward remittances, Compliance and forex operations teams), your first concrete step on “Revised A-2 Form for Remittance Purpose Codes” is: “Replace old Form A-2 purpose codes with the revised list annexed to this circular.” (RBI issued this 12 Jul 2012).
Circular: RBI/2012-13/129 -- Revised A-2 Form for Remittance Purpose Codes
Issued: 12 Jul 2012
Action required: Replace old Form A-2 purpose codes with the revised list annexed to this circular.
Action required: Train staff handling remittance applications on the updated codes.
Action required: Update internal systems and forms to reflect the new purpose codes.
Action required: Ensure that all remittance applications use the revised codes as per the circular.
Owner: ____________ Target date: ____________
Board/committee approval needed? Y / N
Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.
💬 Banker Discussion
Discuss this circular with fellow bankers — reply, upvote what helps, report what doesn’t belong. Be professional; no client data. Views are the commenter’s own, not BankPulse’s.
BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=7446&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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