News shortcuts: From the Courts | Top Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | Professional Updates | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
« Latest Circulars »
 Notification No. 10/2020 Central Board Of Direct Taxes
 Address by Hon’ble President of India at NIBM Golden Jubilee Celebrations
  Finance Minister addresses the Central Board of Directors of Reserve Bank of India
 Use permanent address for filing income tax returna
 Notification No. 09/2020 Central Board Of Direct Taxesa
 Incentivising Bank Credit to Specific Sectors – Exemption from CRR Maintenance
 Guidelines on Merchant Acquiring Business – Regional Rural Banks
 RBI reopens allotment of investment limit under the revised Voluntary Retention Route (VRR) for Investments by Foreign Portfolio Investors (FPIs)
 Auction of Government of India Dated Securities January 27, 2020
 Investment by Foreign Portfolio Investors (FPI) in Debt
 Process of striking off of a company in India under the Companies Act 2013

RBI-Investment by Foreign Portfolio Investors (FPI) in Debt
February, 18th 2019

RBI/2018-19/123 
A.P. (DIR Series) Circular No. 19

February 15, 2019

To

All Authorised persons

Madam / Sir,

Investment by Foreign Portfolio Investors (FPI) in Debt

Attention of Authorised Dealer Category-I (AD Category-I) banks is invited to Schedule 5 to the Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) Regulations, 2017 notified vide Notification No. FEMA.20(R)/2017-RB dated November 07, 2017, as amended from time to time and the relevant directions issued thereunder.

2. In terms of paragraph 4(f) (ii) of the AP (DIR Series) Circular No. 31 dated June 15, 2018 no FPI shall have an exposure of more than 20% of its corporate bond portfolio to a single corporate (including exposure to entities related to the corporate). As announced in paragraph 10 of the Statement on Developmental and Regulatory Policies of the Sixth Bi-monthly Monetary Policy Statement for 2018-19 dated February 07, 2019, in order to encourage a wider spectrum of investors to access the Indian corporate debt market, it has been decided to withdraw this provision with immediate effect.

3. The directions contained in this circular have been issued under sections 10(4) and 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999) and are without prejudice to permissions/ approvals, if any, required under any other law.

Yours faithfully

(T. Rabi Sankar)
Chief General Manager

Home | About Us | Terms and Conditions | Contact Us
Copyright 2020 CAinINDIA All Right Reserved.
Designed and Developed by Ritz Consulting