10C.5A
- Document type
- Manual
- Dated
- Category
- Exchange Management Manual
Investment facility for NRIs resident in Nepal
Non-resident Indians resident in Nepal will be permitted to make investments in India provided the funds for the purpose are remitted in free foreign exchange through proper banking channels. Such investments will either be on repatriation or on non-repatriation basis depending on the terms and conditions applicable under the existing schemes for NRI investment.
I.Investments without Repatriation Benefits
NRIs/OCBs who undertake not to seek at any time repatriation of the capital invested in India and the income earned thereon are permitted to invest on non-repatriation basis, as explained in paragraph 10C 6 to 10C 10. The incomes earned on these investments as and when accrued are required to be credited to the Ordinary Non-resident Rupee (NRO rupee) account of the investor. Reserve Bank would, however, permit repatriation of the net (i.e. after payment of tax) income/interest earned during the financial year 1994-95 and onwards on such investments/deposits in accordance with the procedure laid down in paragraph 10C 24A.