Chandrashekhar panel to frame rules for foreign investors:Sebi

Tags: News
The market regulator Sebi today said it has appointed a committee under ex-Cabinet secretary K M Chandrashekhar to frame a single set of guidelines for all types of foreign investors.

The committee will suggest ways to simplify the investment process for all overseas entities like foreign institutional investors, foreign venture capital investors (FVCIs), qualified financial/institutional investors (QFIs), and NRIs, among others, and also to strengthen surveillance over them.

"Why should we have various routes for foreign investment? Why should we have sub-accounts, ODIs, FIIs and QFIs and NRIs and all that? In consultation with government, we have decided to combine these various routes which are present today into one single route.

"And three-four days ago, we set up a committee under former Cabinet secretary K M Chandrashekhar to look into this," Sebi chairman U K Sinha told reporters here on the sidelines of a capital markets summit organised by industry body CII.

However, he did not share more details like when the committee will submit its report and who are the other members of the panel.

It can be noted that at the last Sebi board meeting held on October 6, it had said that it was looking for ways to streamline foreign investment norms for various categories of investors.

"With a view to rationalise/harmonise different routes for foreign portfolio investments, Sebi will prepare draft guidelines based on the guidance of the working group on foreign investments, for consideration of the government so that uniform guidelines are made for various categories of investors such as FIIs, FVCIs, NRIs, QFIs etc," Sebi had said in a statement after the board meeting.

Notably, FIIs are the largest players in the domestic market. So far this year, they have pumped in a whopping $ 21 billion into the domestic equities, making it the second best inflows after 2010, when they had pumped in close to $ 30 billion.

On the back of robust fund flows, the benchmark Sensex had rallied over 25 per cent so far this year.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Sex education in schools can help bring do​wn juvenile crime

    Whatever the health minister’s views on banning “vulgar” sex education in schools, given the backdrop of the Bangalore child rape, and the count

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Urs Schöttli

Why cleanliness is a vital human right

I have spent the past few months in India witnessing ...

Parvez Imam

Tourism agenda with a colonial undertone

Tourism is supposed to bring in foreign exchange and provide ...

Dharmendra Khandal

Let the tiger breathe in its natural home

The world has been observing July 29 as International Tiger ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture