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Operational framework for reclassification of Foreign Portfolio Investment to Foreign Direct Investment (FDI) under Foreign Exchange Management (Non-debt Instruments) Rules, 2019

News Financial services Law & Policy Updates
Date: 11th Nov, 2024 Source: Reserve Bank of India Country: India Original Source

Brief

"On "11/11/2024", the "Reserve Bank of India" issued an update regarding "Operational framework for reclassification of Foreign Portfolio Investment to Foreign Direct Investment (FDI) under Foreign Exchange Management (Non-debt Instruments) Rules, 2019". The Reserve Bank of India has finalised an operational framework for reclassifying foreign portfolio investment made by foreign portfolio investors to foreign direct investment in case of any breach of the investment limit. This move aims to enhance the ease of doing business in India.

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Reserve Bank of India

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