FEMA - Corporate Law Reporter

Introduction of Composite caps for simplification of Foreign Direct Investment(FDI) Policy to attract Foreign Investments in various sectors

The Department of Industrial Policy and Promotion has issued a press note No. 8 (2015 Series) after reviewing the caps in FDI Policy on various sectors in the Consolidated FDI Policy Circular of 2015 which is in force from 12th May, 2015 by introducing various composite caps to ensure and bring up simplification and uniformity… Read More

Sourcing norms for single-brand retail likely to be reviewed

The rules and regulations with respect to the single brand retailing as a part of the Foreign Direct Investment(FDI) are likely to be reviewed as the Modi led government opposed FDI in multi-brand retail, seems to be planning to remove hurdles for international single-brand retailers, which are allowed up to 100 per cent FDI. Even… Read More

Government nod not required for 49% Foreign Portfolio Investment in many sectors

With a view to strengthen the Foreign Investment policy, the Government has allowed 49% Foreign Portfolio Investment in many sectors through Automatic route in many of the sectors which include pharmaceuticals, single brand retail, insurance, pension etc. which allows the composite foreign investment caps in all the sectors barring private banking and defence sectors. Earlier, these… Read More

Review of Guidelines on Restructuring of Advances by NBFCs

RBI/2015-16/144 DNBR.CO.PD.No. 067/03.10.01/2015-16 July 30, 2015 All NBFCs excluding Primary Dealers Dear Sirs, Review of Guidelines on Restructuring of Advances by NBFCs Please refer to the circulars DNBS.CO.PD.No.367/03.10.01/2013-14, dated January 23, 2014 and DNBR.CO.PD.No.011/03.10.01/2014-15 dated January 16, 2015, on the captioned subject. 2. In terms of the extant instructions contained in the above mentioned circulars, revisions of the… Read More

FDI prohibited under in Multi Brand retail under trading norms

The government has categorically informed the European Union (EU) that it will not allow European multibrand retail firms to set up shop here, even as both sides decided to resume negotiations towards concluding the long-pending Bilateral Trade and Investment Agreement (BTIA). While the negotiations for a BTIA, or a free trade agreement (FTA) as it… Read More

Early Recognition of Financial Distress, Prompt Steps for Resolution and Fair Recovery for Lenders: Framework for Revitalising Distressed Assets in the Economy – Review of the Guidelines on Joint Lenders’ Forum (JLF) and Corrective Action Plan (CAP)

RBI/2015-16/137 DNBR.CC.PD.No.066/03.10.01/2015-16 July 23, 2015 To All Non-Banking Financial Companies (NBFCs) Madam/ Sir, Early Recognition of Financial Distress, Prompt Steps for Resolution and Fair Recovery for Lenders: Framework for Revitalising Distressed Assets in the Economy - Review of the Guidelines on Joint Lenders' Forum (JLF) and Corrective Action Plan (CAP) The Framework for Revitalising Distressed… Read More

Between m-wallets fund transfer should be allowed by RBI

The Reserve Bank of India (RBI) is considering a proposal to allow fund transfer between two mobile wallets, a move that will give boost to e-commerce transactions and provide customers options to manage their funds. M-wallet ---is similar to saving accounts wherein a customer parks money - is provided by few banks such as Pocket… Read More

FDI Rises to 4-Month High of $3.85 Billion in May

Foreign direct investment (FDI) into India rose to a four-month high of $3.85 billion in May 2015, up 7 per cent compared to the same month of last year, official data showed.In May 2014, FDI stood at $3.60 billion. India received FDI of $3.60 billion in April 2015. The FDI figures for May 2015 are… Read More

Foreign inflows keeps adding up, touch $1 bn mark in July

Overseas investors have poured in a net amount of about USD one billion (Rs 6,500 crore) in the Indian capital markets so far this month, helped by positive global cues and easing of foreign investment norms. This follows a massive outflow of foreign investors™ funds in the previous two months from Indian equity and debt… Read More

Cabinet reviews and improves the foreign norms to boost Foreign Investment in India

The Cabinet has given its approval to review the existing FDI policy on various sectors provided in the Consolidated FDI Policy Circular 2014, as amended by the Consolidated FDI Policy Circular 2015, by introducing composite caps for simplification of Foreign Direct Investment (FDI) policy to attract foreign investments. Following amendments to the relevant paragraphs of… Read More

Need to liberalise e-Commerce: Tax Evasion and Business Model major concerns

Even as the pressure mounts on the Centre from various countries to liberalise the e-commerce segment in the country, states on Wednesday flagged several concerns including tax evasion by e-tailers, lack of clarity on the business models of online retailers and jurisdictional issues in a meeting with commerce and industry minister Nirmala Sitharaman. The meeting, which… Read More

Cabinet to come out with Composite Foreign Investment Caps

The Government of India is concerned streamline the foreign investment regime, the Union Cabinet is expected to come out with a concensus decision tomorrow on introducing a composite cap which will include FDI, FII and other instruments in various sectors. The Cabinet will discuss the "proposal for introduction of composite caps for simplification of FDI… Read More

Issue of shares under Employees Stock Options Scheme and/or sweat equity shares to persons resident outside India

RBI/2015-16/128 A.P. (DIR Series) Circular No.4 July 16, 2015 To All Category I Authorised Dealer banks Madam/Sir, Issue of shares under Employees Stock Options Scheme and/or sweat equity shares to persons resident outside India Attention of Authorised Dealer Category I (AD Category-I) banks is invited to Regulation 8 of the Foreign Exchange Management (Transfer or… Read More