The correct answer is: C. the year 1999
The Foreign Exchange Management Act (FEMA) is an act of the Parliament of India enacted in 1999 to consolidate and amend the law relating to foreign exchange with the objective of facilitating external trade and payments and promoting the orderly development and maintenance of the foreign exchange market in India.
The act was passed in response to the growing need for a comprehensive and modern law on foreign exchange management in India. The previous law, the Foreign Exchange Regulation Act (FERA), was enacted in 1973 and had become outdated and inadequate to meet the needs of the changing global economy.
FEMA provides for a liberalized regime for foreign exchange transactions and prohibits only those transactions that are considered to be detrimental to the economic interests of India. The act also provides for a number of safeguards to ensure that the foreign exchange market is not abused.
FEMA has been amended a number of times since its enactment. The most recent amendment was in 2019. The amendment has made a number of changes to the act, including liberalizing the rules on foreign direct investment and simplifying the procedures for obtaining foreign exchange approvals.
The following are the four options given in the question:
- A. the year 2000
- B. the year 2005
- C. the year 1999
- D. the year 2002
Option A is incorrect. FEMA was not passed in the year 2000. It was passed in the year 1999.
Option B is incorrect. FEMA was not passed in the year 2005. It was passed in the year 1999.
Option C is correct. FEMA was passed in the year 1999.
Option D is incorrect. FEMA was not passed in the year 2002. It was passed in the year 1999.