Mumbai: Affluent Indians, who have been legitimately parking a slice of their wealth outside the country for a decade, are in a catch-22 situation.
These rich residents, who spread their money across currencies and markets, are now unsure how to diversify their savings, with the Reserve Bank of India (RBI) yet to spell out whether they can hold fixed deposits (FDs) with overseas banks.
The new rule restrains them from keeping money beyond six months in offshore bank accounts. The rule requires them to ‘invest’ the unused money remitted from India in foreign securities, mutual funds, properties and other permitted assets.
Source:
Economic Times
