Are NRIs permitted to invest in proprietary/partnership concerns in India and shares/debentures of Indian companies?
Yes. NRIs are permitted to invest in proprietary/ partnership concerns in India, on non-repatriation basis, subject to the regulations contained in Notification. No.FEMA 24/2000 RB dated 3rd May 2000. NRIs are allowed to invest in shares / debentures of Indian Companies in terms of Notification No.FEMA 20/2000 RB dated 3rd May 2000. This Notification covers three different investment avenues. (I) Foreign Direct Investment Scheme (FDI) under Schedule 1 and Portfolio Investment Scheme under Schedule 3 on repatriation basis. NRIs can also invest on non-repatriation basis in terms of Schedule 4 without any percentage ceiling. However NRI investments in Companies engaged in Agricultural/ plantation / Real Estate business / Chit fund and Nidhi business are not permitted. Top • Is permission of Reserve Bank required for NRIs to invest in proprietary/partnership concerns on non- repatriation basis? Schedule 4 of Notification No.FEMA 20/2000 RB dated 3rd May 2000 gives general permission for NR
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- Are NRIs permitted to invest in proprietary/partnership concerns in India and shares/debentures of Indian companies?
