MUMBAI: The Reserve Bank has eased the norms for foreign portfolio investors (FPIs) in corporate debt securities, removing short-term and concentration limits.
In a circular on Thursday, the Reserve Bank said it has relaxed the norms for investments by foreign portfolio investors in corporate debt securities through the general route by withdrawing certain requirements.
At present, investments by FPIs in corporate debt done through the general route are subject to the short-term investment and concentration limit.
"With a view to providing greater ease of investment to FPIs, it has been decided to withdraw the requirement for investments by FPIs in corporate debt securities to comply with the short-term investment limit and the concentration limit," the circular said.
The general route for investment in government and corporate debt by FPIs is subject to specified investment limits and macro-prudential limits, the central bank added.