Delhi High Court: Phonetic Similarity between Boat & Boult Can Cause Confusion Online  ||  SC: Recording Reasons Is Mandatory For Searches without A Warrant under Special Laws  ||  SC Dismissed MP Police Plea against Quashing FIR Alleging Marital Cruelty against MLA Umang Singhar  ||  SC Held Financial Bids in Public Tenders Cannot Be Altered Post-Opening To Protect Process Sanctity  ||  SC: Defendant Cannot File a Counter-Claim against a Co-Defendant under Order VIII Rule 6-A CPC  ||  Supreme Court Ruled That Barring Non-Muslims from Creating Waqfs Is Not Prima Facie Arbitrary  ||  SC Rejected Writ Petition Seeking Review of Judgment Upholding WB Madrasah Service Commission Act  ||  SC Grants Interim Bail to Mahesh Raut on Medical Grounds in Bhima Koregaon Case  ||  SC: Non-Production of Contraband Not Fatal If Seizure and Sample-Drawing Follow S.52A of NDPS Act  ||  Supreme Court Takes Suo Motu Cognizance of Industrial Pollution in Rajasthan's Jojari River    

Central Government notifies Overseas Investment Rules and Regulations - (22 Aug 2022)

Commercial

Central Government and Reserve Bank of India notifies Foreign Exchange Management (Overseas Investment) Rules, 2022 and RBI notifies Foreign Exchange Management (Overseas Investment) Regulations, 2022. The new regime simplifies the existing framework for overseas investment by persons resident in India to cover wider economic activity and significantly, reduces the need for seeking specific approvals. This will reduce the compliance burden and associated compliance costs. Overseas investments by persons resident in India enhance the scale and scope of business operations of Indian entrepreneurs by providing global opportunities for growth.

Some of the significant changes brought about through the new rules and regulations are enhanced clarity with respect to various definitions, introduction of the concept of “strategic sector”, dispensing with the requirement of approval for:

a. deferred payment of consideration

b. investment/disinvestment by persons resident in India under investigation by any investigative agency/regulatory body

c. issuance of corporate guarantees to or on behalf of second or subsequent level step down subsidiary (SDS)

d. write-off on account of disinvestment

In view of the evolving needs of businesses in India, in an increasingly integrated global market, there is need of Indian corporates to be part of global value chain. The revised regulatory framework for overseas investment provides for simplification of the existing framework for overseas investment and has been aligned with the current business and economic dynamics. Clarity on Overseas Direct Investment and Overseas Portfolio Investment has been brought in and various overseas investment related transactions that were earlier under approval route are now under automatic route, significantly enhancing "Ease of Doing Business".

Tags : OVERSEAS   INVESTMENT   NOTIFICATION  

Share :        

Disclaimer | Copyright 2025 - All Rights Reserved