Compliance with India’s foreign investment regulations is now more critical than ever. The Enforcement Directorate has initiated a number of investigations, especially in the fintech, e-commerce and similar sectors, where the purpose of foreign investment is stated as information technology services but the money is channelled into restricted sectors. M&A and PE investments need to follow the substance over form principle in relation to use of funds. Please go through our PPT for more details.
India Releases Draft Foreign Investment Rules: Implications for Foreign Investors
The Reserve Bank of India has recently released draft rules to replace the Foreign Exchange Management (Non-debt Instruments) Rules, 2019. Some important changes are being proposed as regards the fair value at which a foreign buyer can purchase Indian...