While it can be appreciated that this amendment however is a step by the Indian Government to curb opportunistic takeovers/acquisitions of Indian companies, implementation of the same will have to be judiciously done, the notification has created a two faced dilemma.
The ECB Circular attempts to overhaul the nature of uses for which borrowers may adopt the ECB route and therefore, avail debt funding from foreign lenders. The relaxation in permitted end uses via the ECB Circular conveys the RBI’s intent to liberalise external debt funding opportunities for Indian entities thereby reducing their dependence on equity based funding.
Further to our Part V, this post seeks to examine the amendments brought about by RBI to permit NRIs to subscribe to the National Pension System and the clarification issued by Employees Provident Fund Organization towards provident fund contributions to be made by certain establishments towards ‘International Workers’. 9. Foreign Exchange Management (Transfer or Issue of... Continue Reading →
Further to our Part IV, this post seeks to examine the changes brought about by RBI in the Foreign Exchange Management (Remittance of Assets) Regulations, 2016, the Foreign Exchange Management (Deposit) Regulations, 2016 and the new investment option of ‘masala bonds’ made available to global investors to invest in India. 6. Foreign Exchange Management (Remittance of... Continue Reading →
Further to our Part III, this post seeks to examine the access provided by RBI to NRIs towards the exchange traded currency derivatives’ market and relaxations brought about in the extant guidelines for subscription to chit funds by NRIs. 4. NRIs permitted access to Exchange Traded Currency Derivatives (“ETCD”) market With a view to enable additional... Continue Reading →
Further to our previous post, this post seeks to examine the major overhauls brought in by GOI to engage more meaningfully with Indian expats post promulgating the Ordinance. The GOI has brought in a series of reforms to liberalize India's foreign investment policy and create a conducive legal and regulatory environment for foreign investment. To... Continue Reading →
Further to our Part I, this Part seeks to outline the rights of the OCI cardholders with regards to buying immovable property in India. Indian expats, the world’s second-largest diaspora, have since many years been some of the biggest investors in India and the depreciating Indian rupee has particularly intensified investments, especially in the real estate... Continue Reading →
‘The Citizenship (Amendment) Act, 2015’ (“Act”) received the President’s assent and was notified in the official gazette on 10 March 2015 and is deemed to have come into effect retrospectively from 6 January 2015. The Act introduces the concept of 'Overseas Citizens of India (“OCI”) Cardholders' which merges together the OCI and the Persons of... Continue Reading →
Any person who is not a resident of India or a Foreign Company i.e. a company incorporated outside India (“Foreign Companies”) can enter Indian markets for conducting business in the manner permitted by Government of India (“GOI”) and rules in this behalf by the Reserve Bank of India(“RBI”). Foreign companies desirous of carrying out any... Continue Reading →