Rbi Master Circular - Foreign Investment

Part – I
Foreign Investments in India—Schematic Representation:

Foreign Investments

Foreign Direct Investments

Foreign Portfolio Investments

Foreign Venture Capital Investments

Other investments
(G-Sec, NCDs, etc)

Investments on non-repatriable basis

Automatic Route

Govt. Route

Persons Resident outside India

FIIs

NRIs, PIO

FIIs SEBI regd. FVCIs

NRIs, PIO

NRIs, PIO

VCF, IVCUs

RBI/2010-11/13 Master Circular No.13/2010-11 To, All Category - I Authorised Dealer banks Madam / Sir, Master Circular on Foreign Investment in India

July 01, 2010

Foreign investment in India is governed by sub-section (3) of Section 6 of the Foreign Exchange Management Act, 1999 read with Notification No. FEMA 20/2000-RB dated May 3, 2000, as amended from time to time. The regulatory framework and instructions issued by the Reserve Bank have been compiled in this Master Circular. The list of underlying circulars/notifications is furnished in Appendix. In addition to the above, this Master Circular also covers the area of Investment in capital of partnership firms or proprietary concern which is regulated in terms of Section 2(h) of Section 47 of Foreign Exchange Management Act, 1999, read with Notification No. FEMA 24/2000-RB dated May 3, 2000. 2. This Master Circular is being issued with a sunset clause of one year. This

circular will stand withdrawn on July 1, 2011 and be replaced by an updated Master Circular on the subject.

Yours faithfully,

(Salim Gangadharan) Chief General Manager-in-Charge

INDEX
PART – I ................................................................................................................................................................0 FOREIGN INVESTMENTS IN INDIA—SCHEMATIC REPRESENTATION: ................................................................0 SECTION - I: FOREIGN DIRECT INVESTMENT... [continues]

Read full essay