Indian Direct Investment in SAARC Countries and Myanmar

 

AP (DIR Series) (2002-2003) Circular No. 58, dated 2-12-2002

Indian Direct Investment in SAARC countries and Myanmar

Attention of authorised dealers is invited to sub-regulation 2(i) and (ii) of Regulation 6 of the Reserve Bank Notification No. FEMA 19/RB-2000, dated May 3, 2000 as amended from time to time.

 

2.         As a part of further liberalisation it has been decided to enhance the existing ceiling for Indian investment in Myanmar and SAARC countries (excluding Pakistan) under the automatic route to US $ 150 million or its equivalent, against existing limit of US $ 100 million and to Rs. 700 crores against existing limit of Rs. 350 crores for rupee investment in Nepal and Bhutan.

 

3.         Necessary amendments to the Foreign Exchange Management Regulations, 2000 are being issued separately.

 

4.         Authorised Dealers may bring the contents of this circular to the notice of their concerned constituents.

 

5.         The directions contained in this circular have been issued under section 10(4) and section 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999).