Looking into the volatility in the Exchange rate and stagnate FX reserve in the Country , both Government Ministry and RBI has recently acted swiftly in relaxing the guidelines relating to FDI . The Reserve Bank today said that transfer of shares between Indians and non-residents will not require its permission in several key areas . Foreign Exchange Management Regulations has been ammended and RBI said that its prior permission would not be necessary in certain cases . RBI permission has also been done away with for transfer of shares between residents and non-residents in cases where the Foreign Investment Approval Board ( FIPB) has already given its clearances and the SEBI guidelines have been adhered to. However, it was made clear that the transactions will have to comply with the SEBI regulations, FDI sectoral caps, and the pricing guidelines as specified by RBI. FDI inflows during April-August have gone up by 95 per cent to USD 17.37 billion. The country has foreign exchange reserves of USD 318 billion but the pressure on rupee is matter of concern for an economy which depends on large commodity imports.
No comments:
Post a Comment