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Regulatory document · Reserve Bank of India

Liberalisation of Foreign Portfolio Investment under Schedule III of the Foreign Exchange Management (Non-debt Instruments) Rules, 2019

UR

The four dates on this rule

This rulebook is short, and the page is short with it. This document is 979 words long. It states 6 separate rules. So the page carries 6 points, not the thirty a long rulebook carries. Nothing has been left out to make it shorter.

At a glanceBanks must report these deals and watch limits like they do for non-resident Indians and overseas citizens of India. These directions apply from now, without any wait.

Official RBI page

What it says

Do it

1. Report and monitor

Banks must report these deals and watch limits like they do for non-resident Indians and overseas citizens of India.

2. Ensure full compliance

Banks must ensure these investments follow the Rules, the Regulations and all relevant Securities and Exchange Board of India rules.

3. Systems and procedures

Banks must set up proper internal systems and steps to check that these investments meet all rules.

4. Inform customers

Banks must tell their relevant customers about the rules in this circular.

Background

1. Open INR account

Banks can open a repatriable rupee account for such non-resident investors for Schedule III investments.

2. Effective immediately

These directions apply from now, without any wait.

Where to go next