Regulatory updates

Regulatory updates

Updates from RBI

Back

With an aim to address the diversity in the regulatory framework that governs investment funds across various jurisdictions, on 7 June 2024, the Reserve Bank of India (RBI) amended the Foreign Exchange Management (Overseas Investment) Directions, 2022 (the directions). The amendments to the directions (amendments) provide clarity with regard to the following key points pertaining to Overseas Portfolio Investments (OPIs).

To access the text of the notification, please click click here

Existing directions Amendment
Form of investment
Indian investors were permitted to hold an overseas investment portfolio only if the investments were made in ‘units’ of the funds. The amendment now permits Indian investors to invest in units or any other instrument (by whatever name called) issued by an overseas investment fund.
Investment regulator
The directions permitted investment in funds that were directly regulated by the financial sector regulator of the host country. RBI has permitted Indian companies and resident individuals to invest in offshore funds that are regulated through their fund managers in their home jurisdiction.

To access the text of the notification, please click click here

Our Insights

Tools and Enablers
Resources
Events and Webinars
Sectoral Insights

Reach out to us

;