RBI Permits PROIs Maintaining a Rupee Account to Purchase/Sell Dated Government Securities/Treasury Bills
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- Last Updated on 25 October, 2023
Notification No. FEMA.396 (2)/2023-RB; Dated: 16.10.2023
RBI has notified the FEM (Debt Instruments) (Second Amendment) Regulations, 2023. As per the amended norms, persons resident outside India (PROIs) maintaining a rupee account as per reg. 7 of FEM (Deposit) Regulations can purchase or sell dated Government securities/treasury bills as per terms and conditions specified by the RBI.
Further, the amount of consideration for the purchase of such securities/bills must be paid out of funds held in a rupee account. Also, the sale/maturity proceeds of instruments held by PROIs must be credited to the said rupee a/c.
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