The correct answer is option 'A', which is "Foreign".

Explanation:
The FERA stands for Foreign Exchange Regulation Act. It was an act enacted by the Indian Parliament in 1973 to regulate foreign exchange transactions in India. The main objective of FERA was to conserve the foreign exchange resources of the country and ensure its proper utilization.

- FERA and Its Purpose:
FERA was introduced to control and regulate various aspects of foreign exchange transactions, such as the acquisition, holding, transfer, and disposal of foreign exchange and foreign securities by individuals, firms, and companies. Its purpose was to prevent unauthorized dealings in foreign exchange and to maintain the stability of the Indian currency.

- Replaced by FEMA:
In 1999, FERA was repealed and replaced by a new act called the Foreign Exchange Management Act (FEMA). The main reason for replacing FERA with FEMA was to liberalize and simplify the foreign exchange regulations in line with the economic reforms and globalization policies of the Indian government.

- Key Provisions of FERA:
Under FERA, various provisions were made to regulate foreign exchange transactions, including:
1. Control on Acquisition and Transfer of Foreign Exchange: FERA regulated the acquisition and transfer of foreign exchange by individuals, companies, and entities. It required prior permission from the Reserve Bank of India (RBI) for any such transactions.
2. Restrictions on Holding Foreign Exchange: FERA imposed restrictions on the holding of foreign exchange by individuals and companies. It required them to surrender their foreign exchange holdings to authorized dealers within a specified period.
3. Control on Transactions with Non-Residents: FERA imposed restrictions on transactions between residents and non-residents. It required prior approval from the RBI for any such transactions.
4. Penalties and Enforcement: FERA had stringent provisions for penalties and enforcement. It authorized the RBI to investigate and prosecute any violations of the act, with penalties including fines, imprisonment, and confiscation of assets.

- Conclusion:
In summary, FERA was an act enacted to regulate foreign exchange transactions in India. It aimed to conserve foreign exchange resources, prevent unauthorized dealings, and maintain currency stability. However, it was later replaced by FEMA to align with the changing economic scenario and liberalize foreign exchange regulations.