Reserve Financial institution on Wednesday mentioned that NRIs and OCIs don’t require its prior approval for acquisition and switch of immovable property in India, apart from agricultural land, farm home and plantation property.
The clarification has been issued by Reserve Financial institution of India (RBI) following queries acquired at its numerous places of work with regard to acquisition of immovable properties by Abroad Residents of India (OCIs) within the wake of a Supreme Courtroom judgment referring to Overseas Alternate Regulation Act (FERA).
“It’s hereby clarified that the involved Supreme Courtroom Judgment dated February 26, 2021 in Civil Attraction 9546 of 2010 was associated to provisions of FERA, 1973, which has been repealed beneath Part 49 of FEMA, 1999,” RBI mentioned in a launch.
At current, the central financial institution mentioned “NRIs/OCIs are ruled by provisions of FEMA 1999 and don’t require prior approval of RBI for acquisition and switch of immovable property in India, apart from agricultural land/ farm home/ plantation property…” NRIs are Non-Resident Indians.
Additional, the central financial institution mentioned that numerous queries have been acquired at its numerous places of work primarily based on newspaper reviews on the Supreme Courtroom judgement.
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