News Summary

• Experts feel the move may not enough to bring in foreign investment because the reason for their receding interest in India is a factor of structural macroeconomic issues and not regulatory alignment.
• The Finance Ministry’s June 12 amendment in the Foreign Exchange Management (Non-debt Instruments) Rules removes a long-standing restriction that limited portfolio investment under the scheme to Non-Resident Indians and Overseas Citizens of India.
• Experts say this move aims to attract more foreign capital; however, they have some doubts too.