RBI vide Notification No. RBI/2021-22/44 dated 31st May, 2021 has notified the investment limits by FPIs in government securities for FY 2021-22 as follows:
- The limits for FPI investment in Government securities (G-secs) and State Development Loans (SDLs) shall remain unchanged at 6% and 2% respectively, of outstanding stocks of securities for FY 2021-22
- All investments by eligible investors in the ‘specified securities’ shall be reckoned under the Fully Accessible Route (FAR)
- The allocation of incremental changes in the G-sec limit over the two sub-categories – ‘General’ and ‘Long-term’ – shall be retained at 50:50 for FY 2021-22
The entire increase in limits for SDLs has been added to the ‘General’ sub-category of SDLs
https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=11872&Mode=0