Who is an FVCI?

FVCI stands acronym for Foreign Venture Capital Investor’ (FVCI).  FVCIs are investors incorporated and established outside India and registered with the Securities and Exchange Board of India under the Securities and Exchange Board of India (Foreign Venture Capital Investors) Regulations, 2000. They can make an investment in India in terms of schedule 7 of FEMA…

What is meant by Foreign Investment, Foreign Direct Investment, and Foreign Portfolio Investment?

This article distinguishes amongst foreign investment, Foreign Direct Investment, Foreign Portfolio investments, Qualified Foreign Investor (QFI), Foreign Institutional Investor (FII), etc. Foreign Investment: Any investment made by a person resident outside India on a repatriable basis in capital instruments of an Indian company or to the capital of a Limited Liability Partnership (LLP) is known…

RBI permits Inter-bank dealings beyond on-shore market hours

The Reserve Bank of India added the following section to Part C (Inter-Bank Foreign Exchange Dealings) of the Master Direction- Risk Management and Inter-Bank Dealings. “Transactions with person residents outside India, through their foreign branches and subsidiaries may also be undertaken beyond onshore market hours.” The RBI notification issued by RBI on Monday (January 6)…

Hedging of foreign exchange risk by residents and non-residents: RBI issues final guidance

Pursuant to an announcement made in during February 2019 regarding the review of foreign exchange hedging facilities by non-residents and residents. RBI also issued the draft regulations for public comments proposing to replace the existing directions in Part A – Section I and II of the Master Direction on Risk Management and Interbank Dealing. The…