NRI Investment Options in India

NRI (Non Res­i­dent Indi­ans) have dif­fer­ent attrac­tive invest­ment options avail­able to invest in India. Many of us have this ques­tion — Can a NRI make invest­ment in India?
The answer is Yes, a NRI can make invest­ment in all the invest­ment options which is avail­able for Res­i­dent Indians.

Invest­ment Options avail­able for NRIs – NRI invest­ment in India

 Port­fo­lio invest­ment in equity shares in the sec­ondary mar­ket
 New pub­lic issues (shares)
 Mutual funds (Invested out of NRE/FCNR/NRO account or by inward remit­tance)
 Deposits in Bank
 Domes­tic (NRO) funds through deposits in Indian com­pa­nies (includ­ing Non Bank­ing Finance Com­pa­nies if they are reg­is­tered with Reserve Bank of India) on non repa­tri­a­tion basis upto 3 years sub­ject to cer­tain for­mal­i­ties to be com­pleted by the con­cerned com­pany
 Bonds (Invested out of NRE/FCNR/NRO account or by inward remit­tance)
 Part­ner­ship con­cern in India
 Immov­able prop­erty (Amount is not invested for the pur­chase of agri­cul­tural land, plan­ta­tion prop­erty or farm house and invest­ments are made from fresh inward remit­tance or exist­ing non res­i­dent account)

Tax ben­e­fits avail­able for NRIs

 Bank Deposits, Invest­ment in shares, Units of Mutual Funds are exempt from wealth tax in India
 Inter­est earned on NRE and FCNR accounts is com­pletely tax-free
 Gift Tax within a limit of Rs 25,000 is exempt from tax. Excep­tions are — Gifts given dur­ing mar­riage, inher­i­tance left behind in a will or if the payer has died.

Type of NRI account – NRI Invest­ment in India

A NRI can have any of these accounts to invest in India.
 NRE Account (Non-Resident Exter­nal Rupee Account)
 NRO Account (Non-Resident Ordi­nary Rupee Account)
 FCNR Account (For­eign Cur­rency Non Res­i­dent Account)

Related posts:

1. NRI Bank Account
2. FAQs — NRIs invest­ments in India
3. Invest­ment Options in india — Dif­fer­ent types
4. Invest­ment Options in India !!! Choose for yourself
5. STATE BANK OF INDIA