Notification/Circular No. – RBI/2024-25/126 dated August 12, 2025
Applicable Act/Rule – Foreign Exchange Management Act, 1999; Reserve Bank of India Act, 1934
Non-resident investment in Indian debt instruments is governed by FEMA regulations and various RBI circulars. Over time, multiple notifications and A.P. (DIR Series) circulars have been issued, leading to scattered compliance requirements.
To simplify and consolidate, RBI has issued a Master Direction – Non-resident Investment in Debt Instruments, 2025, which brings together provisions from FEMA regulations and earlier circulars (listed in Annex-1). This provides a single reference framework for Authorised Persons and market participants. AD Category-I banks are directed to circulate its contents to their constituents.
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