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Q: Can NRIs purchase existing shares/debentures of Indian companies by private arrangement?

A: Yes. Reserve Bank permits NRIs, on application in form FNC 7, to purchase shares/debentures of existing Indian companies on non-repatriation basis. An undertaking about non-repatriation is to be...

Q: Can NRIs transfer/sell their shares/debentures/bonds held on non-repatriation basis to residents freely?

A: General exemption has been granted by Reserve Bank for transfer/sale of shares/debentures/bonds by NRIs/OCBs through stock exchanges if such transfers are made in favour of an Indian citizen or a...

Q: Are NRIs permitted to invest in Commercial Paper (CP) issued by Indian companies?

A: Yes. General permission has been granted by Reserve Bank to Indian companies to issue CP to NRI individuals subject to the conditions that the amount invested will not be repatriated outside India...

Q: Do NRIs need permission of Reserve Bank for placing funds in fixed deposits with firms/companies on non-repatriation basis?

A: Yes. Permission for placement of funds in fixed deposits with firms/companies in India is granted by Reserve Bank on application by the depositor or the deposit accepting firm/company, on...

Q: Can NRIs keep deposits with companies in India with repatriation benefits?

A: Yes. NRIs are permitted to keep deposits with public limited companies in India for a minimum period of three years subject to certain ceilings/conditions. Application for the purpose is required...

Q: What is the validity period of Reserve Bank approval for the purchase of shares/debentures of Indian companies or units of domestic Mutual Funds?

A: Reserve Bank approval is valid for a period of five years from the date of issue. This can be renewed further by making a request by means of a simple letter. Source : Reserve Bank Of India

Q: Can NRIs make investments in non-convertible debentures of Indian companies?

A: Yes. Source : Reserve Bank Of India

Q: Are sale/maturity proceeds of Government securities/Units/National Savings Certificates allowed to be repatriated abroad?

A: If such securities were purchased out of funds remitted from abroad or out of NRE/FCNR accounts, sale/maturity proceeds can be repatriated. Sale/maturity proceeds of securities purchased out of...

Q: Can Government securities/units be freely transferred or sold?

A: Yes, provided the transfers/sales are arranged through an authorised dealer. Units can, however, be repurchased directly by UTI. Source : Reserve Bank Of India

Q: Can NRIs make investments in National Savings Certificates issued by Post Offices in India?

A: Yes. Investments in National Savings Certificates can be made by NRIs subject to the terms and conditions applicable to the sale/issue of such certificates. However, NRIs are not permitted to...