As per Reserve Bank of India FEMA (Foreign Exchange Management Act) guidelines Non Resident Indians(NRI) can invest only in selected schemes in India.
NRIs cannot invest in the following schemes
- Small savings Schemes
- Public Provident Fund (PPF)
NRIs can invest in the following schemes
- Mutual Funds
- Government Securities
- Government bonds
On Repatriation basis (Funds can taken back) NRIs can invest in the following schemes
- Government dated securities
- Government Treasury bills
- Indian mutual funds units
- Bonds issued by Public Sector Organisations
- Perpetual debt instruments issued by Indian Banks
- Debt Capital Instruments
On Non Repatriation basis (Profits can not take back) NRIs can invest on the following schemes
- Government dated securities
- Treasury Bills
- Indian mutual funds units
- Money Market mutual funds units
- National Plan / Savings Certificates
for all these investments NRIs should pay the funds through Remittances, NRE / FCNR accounts balances.
