Patna HC: Possessing Cough Syrup With under 2.5% Codeine Without Authorisation Attracts the NDPS Act  ||  Madras HC: Person Who Converts to Islam Cannot Claim Backward Class Muslim Status  ||  Madras High Court Lays Down Guidelines For Surrogacy Custody and Parentage Applications  ||  Bombay High Court: Residence Proof is Mandatory For RTE Neighbourhood School Admissions  ||  Madras HC Strikes Down TN Law Mandating Registrar’s Title Verification Before Property Registration  ||  Bombay HC Allows Galli News to Report Medical Negligence But Bars Defamatory Hospital Imputations  ||  Supreme Court: Parents’ Loss Cannot Be Measured With Arithmetical Precision  ||  Supreme Court: Registered Sale Deed Remains Valid Despite Minor Attestation Discrepancies  ||  Calcutta High Court: Section 107 BNSS Property Attachment Cannot be Used as a Recovery Tool  ||  Ker HC: Elected Representatives Must Swear by God or Affirm, Cannot Invoke Specific Deities in Oath    

Investment by Foreign Portfolio Investors (FPIs) in Debt- (Reserve Bank of India) (08 Nov 2021)

MANU/APDR/0022/2021

Banking

1. Attention of Authorised Dealer Category-I (AD Category-I) banks is invited to Schedule 1 to the Foreign Exchange Management (Debt Instruments) Regulations, 2019 notified vide Notification No. FEMA.396/2019-RB dated October 17, 2019, as amended from time to time and the relevant Directions issued thereunder.

2. A reference is also invited to the following Directions issued by the Reserve Bank:

a. A.P. (DIR Series) Circular No. 31 dated June 15, 2018, as amended from time to time; and

b. A.P. (DIR Series) Circular No. 34 dated May 24, 2019, as amended from time to time.

3. An announcement was made in the Union Budget 2021-22 that debt financing of Infrastructure Investment Trusts (InvITs) and Real Estate Investment Trusts (REITs) by Foreign Portfolio Investors (FPIs) will be enabled by making suitable amendments in the relevant legislations. Accordingly, it has been decided to permit FPIs to invest in debt securities issued by InvITs and REITs. Necessary amendments to Foreign Exchange Management (Debt Instruments) Regulations, 2019 (Notification No. FEMA 396/2019-RB dated October 17, 2019) have been notified on October 21, 2021 and are annexed to this circular.

4. FPIs can acquire debt securities issued by InvITs and REITs under the Medium-Term Framework (MTF) or the Voluntary Retention Route (VRR). Such investments shall be reckoned within the limits and shall be subject to the terms and conditions for investments by FPIs in debt securities under the respective regulations of MTF and VRR.

5. AD Category-I banks may bring the contents of the circular to the notice of their customers/constituents concerned.

6. The Directions contained in this circular have been issued under Sections 10(4) and 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999) and are without prejudice to permissions/approvals, if any, required under any other law.

Tags : INVESTMENT   FPIS   DEBT  

Share :        

Disclaimer | Copyright 2026 - All Rights Reserved