INDIA: India Foreign Portfolio Investment Regulations to enter into effect 1 June

Monday March 31 2014

The Securities and Exchange Board of India has announced that the new India foreign investment rules shall enter into effect on 1 June 2014.

The SEBI (Foreign Portfolio Investors) Regulations, 2014 were notified on January 7, 2014. Market participants have communicated to SEBI that they are still in the process of putting in place necessary systems and procedures to discharge their assigned role effectively. Accordingly, they have sought an extension of time for implementation of the FPI regime.

As a result, SEBI has decided that the FPI regime shall commence with effect from June 1, 2014. SEBI shall continue to accept all applications for registration of FIIs and Sub Accounts until May 31, 2014. With effect from June 1, 2014, Depository Participants shall accept all applications for registration, acknowledgment of fees, and miscellaneous requests.

Click on the above for the Circular.