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Investment by Foreign portfolio investors (FPI): Investment limits

RBI vide notification Nos. RBI/2019-20/199 & RBI/2019-20/214 dated March 30, 2020 & April 15 respectively, issues directions to the Authorised Directory category-1 banks regarding investment limits for FY 2020-21 by FPIs in debt instruments.

Investment Limits for FY 2020-21:

  1. The limit for FPI investment in corporate bonds is increased to 15% of outstanding stock for FY 2020-21.

Accordingly the revised limits for FPI investment in corporate bonds are as follows:

Particulars Rs. in Crores
Current FPI Limit 3,17,000
Revised for HY Apr 2020 – sep 2020 4,29,244
Revised for HY Oct 2020 – Mar 2020 5,41,488
  • The revised limits for FPI investment in Central Government securities (G-secs) and State Development Loans (SDLs) for FY 2020-21 are as follows,
  Current FPI Limits (Rs. in crores) Revised for HY Apr 2020 – sep 2020 Revised for HY Oct 2020 – mar 2020
G- Sec General 2,46,100 2,34,531 2,34,531
G- Sec Long Term 1,15,000 1,03,531 1,03,531
SDL General 61,200 64,415 67,630
SDL long Term 7,100 7,100 7,100

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