Reduction of period of Realization and Repatriation of export of goods

Investment abroad by Individuals in India

A person resident in India being an Individual may acquire foreign security up to USD 2,00,000 in a financial year.

Acquisition of shares in Lieu of Professional services rendered:

A resident individual may apply  the Reserve bank of India for permission to acquire shares in a foreign entity as a consideration in lieu of the professional services rendered  to the foreign entity.

Reserve Bank of India, may grant permission after considering the following facgors

-Credentials and net worth of the Individual and the nature of his profession.

- the extent of his forex earnings / balances in his EEFC and RFC account.

- Financial and business track record of the foreign entity.

- Potential for forex inflow to the county.

- Other likely benefits to the country.

Purchase / Acquisition of foreign securities by a person resident India

A person being an resident individual in India, can acquire foreign securities through automatic route. Reg 22 of Transfer or issue of any Foreign Security Regulations, 2004.

An individual may acquire  foreign securities
- by way of gift from a person resident outside India.
- issued by Foreign company under cashless Employee Stock Exchange Option Scheme(ESOS).

A person resident in India, being an individual , who is an

- Employee or Director of Indian office or
- Employee of branch office of foreign company or
- Employee or Director of a subsidiary in India of foreign company or
- Employee or Director of Indian company in which foreign company holds note less than 51 percent of equity shares

may accept the shares offered by such foreign company under Employee Stock Option Plan (ESOP).

provided Shares issued under ESOP by the foreign company globally on uniform basis and remittance for acquire the should be through normal banking channels i.e through AD bank.