A New Overseas Indians Investments Policy

Government of India has released a new Investment Policy as on Thursday, November 30, 2006 Apparent in its site http://pib.nic.in

[Via - Press Information Bureau (Ministry of Overseas Indian Affairs, Government of India)]

Government has put in place a liberal and transparent policy for investment from overseas Indians. Most of the sectors are open to Foreign Direct Investment (FDI) under the automatic route.

Non-Resident Indians (NRIs) can invest upto 100% under the automatic route in the Housing and Real Estate Development for the following activities.

• Developments of services plots and constructions of built up residential premises;
• Investment in real estate governing construction of residential and commercial premises including business centers and offices;
• Development of townships;
• City and regional level urban infrastructure facilities, including roads and bridges;
• Investment in participatory ventures in the above activities;
• Investment in housing finance institutions.

NRIs can invest upto 100% in Indian companies engaged in Air Taxi operation. (For foreign companies Foreign Direct Investment (FDI) is permitted only up to 49%)

More Information Here- http://pib.nic.in/release/release.asp?relid=22589

NRIs to Press US Cong on Indo-US N-deal

NRIs in United States stands united to urge India and US, the two world's largest democracies for a unique partnership in Nuclear-Deal that US Congress seems to apprehensive or so.

A broad coalition of groups representing the Indian American community, including some prominent members, would press lawmakers here to ratify legislation on the civilian nuclear energy agreement between the US and India.

Leading community members, including entrepreneurs, hoteliers, physicians, and venture capitalists from across the country would gather on Wednesday and attend a series of events designed to urge Congress to ratify the nuclear agreement.

The event is being organised by the US-India Friendship Council. The events include interaction with the US Chamber of Commerce before community leaders go to Capitol Hill to meet individually with members of Congress in the House of Representatives and the Senate.

Swadesh Chaterjee, a North Carolina businessman and political activist siad - "Today, the Indian-American community stands united with one voice to urge our country's leadership to forge a unique partnership for the 21st century between the world's oldest and largest democracies".

"On multiple levels (strategic, security, environmental, and economic,) this agreement is good for the US, India, and the rest of the world, he said in a release.

"This agreement brings India, a responsible nuclear power, into the umbrella of the international non-proliferation community," said Bharat Bharai, a Indian-American physician and long-time resident of Indiana.

"India has a spotless reputation on proliferation and deserves to be treated on that track record", he said.

"Moreover, beyond this benefit to international security, serving India's growing energy needs through nuclear power instead of coal will also significantly reduce the country's greenhouse gas emissions, so there are multiple reasons for Congress to pass this agreement." - Said Ranavir Trehan, a community leader in Northern Virginia.

Via-http://timesofindia.indiatimes.com/articleshow/1512741.cms

NRIs: Buying a home in India made easy

In recent years, India has been witnessing unprecedented growth in the real estate sector fueled by the increased business activity.

Real estate development in India is estimated at $12 billion and growing at 30% every year. Though all segments of real estate business such as corporate, retail and residential have been driving this growth, NRI investment in residential property itself constitutes 80% of this sector.

Non-Resident Indians (NRIs) are one of the key contributors to the growth of the real estate industry and considering the immense potential in India, they are likely to step-up the investment in future.

In this article, senior tax professionals with Ernst & Young -- Gaurav Taneja and Rajesh S -- provide an overview of the key exchange control and tax implications that should be considered by NRIs while investing in house property in India.
Exchange control

India's compelling success story

India is expected to add more wealth in the next 10 years than it has in the last 50 years!" That statement came out of an HSBC presentation made at a Dubai meeting some months ago to persuade more equity investment into India.

India remains a compelling investment story. So it was no surprise really when the country's main benchmark share index hit a new record last week.

India is already the world's 12th biggest economy and the fourth largest in terms of purchasing power parity. Its GDP grew 8.9 per cent in the first quarter of this fiscal year which ends in March 2007, and has averaged 8.4 per cent in the last three years.

The GDP is poised to grow at least at that pace over the next year or two and possibly accelerate as infrastructure improves around the country.

Source: http://www.gulfnews.com/business/money/10079672.html