Reserve Bank of India
(RBI) recently said individuals can also use funds under Liberalised
Remittances Scheme (LRS) to buy immovable property abroad.
Encouraged by an
improvement in the forex market, the RBI on June 3, 2014 had raised annual
overseas investment ceiling for individuals to $1.5 lakh from $75,000.
"Banks have been
allowed to remit up to $ 1.25 lakh per financial year, under the Scheme, for
any permitted current or capital account transaction or a combination of both.
Further, it is clarified that the Scheme can now be used for acquisition of
immovable property outside India," an RBI notification said.
The LRS allows
residents to acquire and hold shares, debt instruments or /other assets outside India without prior
approval of the RBI.
The RBI had in August
last year reduced the ceiling from $2 lakh to $75,000 per person in a financial
year under the Liberalised Remittance Scheme (LRS) in view of the worsening
current account deficit and a volatile rupee.
Src: PTI
No comments:
Post a Comment