The Ministry of Finance (MoF) on June 05, 2026, issued Foreign Investment Reforms for Equities and Government Securities.
The following has been stated:-
•The Government has introduced reforms to attract long-term foreign capital by allowing individual Persons Resident Outside India (PROIs) to invest in listed Indian equities under the Portfolio Investment Scheme, with enhanced investment limits.
•It has also expanded the Fully Accessible Route (FAR) for Government Securities and removed certain restrictions on FPI investments in G-Secs to improve market accessibility.
•Additionally, interest income and capital gains earned by FPIs on Government Securities have been exempted from income tax with effect from April 01, 2026.
•These measures aim to simplify investment procedures, deepen capital markets, and strengthen India's position as a global investment destination.
[Press Release No.: 2269169]
