NRI

Following the sharp depreciation of INR in July – Aug 2013, RBI has taken number of steps to stabilise the currency. To attract foreign currency, interest rate on FCNR Deposits is increased by 1% for tenure of 3-5 years deposits. Earlier, for FCNR deposits for 3-5 years, Banks could offer LIBOR + 3%, now they can offer LIBOR + 4% RBI has also allowed banks to increase NRE FD Rates for tenure of 3 years or more. Read my other article - Comparison of NRE FD Rates April 2014 Structured Product for NRIs  -  FCNR Deposit with Forward Cover / Swap Many banks are offering a structured product combining FCNR Deposit and Forward Cover and offering a yield of 14%, which is risk free & tax free. If you have NRE Account with bank, you might have received similar mailer from them. 14% yield… risk ...

If you are an NRI & looking for a safe investment option in India, then you should consider investing in NRE Fixed Deposits . RBI has de-regulated the interest rates on NRE fixed deposits and banks are now offering an interest rate of 8.5-10% p.a as against 2-4% earlier.  Also, weaker Indian Rupee makes these deposits more attractive. Benefits / Features of NRE Fixed Deposit (NRE FD) Attractive interest rates (between 8.5 - 10 % p.a) Lucrative exchange rates (if you want to convert USD/GBP etc to Indian Rupee) Tax free interest in India fully repatriable (both principal and interest earned can always be converted back to your foreign currency) 1-10 years tenor range Current Rates on NRE Fixed Deposits (NRE FD) (Latest) - See Post How to Open an NRE Fixed Deposit (NRE FD) If ...

The Reserve Bank has now allowed non resident Indians (NRIs) to transfer funds from non-resident ordinary (NRO) account to Non-Resident External (NRE) account a/c. ( May 2012) The maximum limit is $1 million in a financial year. As per the existing regulation, funds transfer from NRE account to NRO was allowed, but not from NRO to NRE.  Funds transfer from NRO account to Bank Account abroad was allowed. See my post - How to transfer funds from your NRO Account This new RBI notification allows to transfer funds from your NRO Account to NRE Account. Ref - RBI/2011-12/536  A. P. (DIR Series) Circular No.117  dates 7 May 2012 Procedures for transferring funds from NRO Account to NRE Account A separate procedure is not mentioned for transferring funds from NRO to NRE, so the general procedure...

Do you have balances in your NRO account and want to transfer abroad? Here is a quick guide related to remit / transfer funds from your NRO account to a Bank Account outside India. Balances in the NRO account are not freely repatriable. But the RBI does allow NRIs to remit up to USD 1 million per financial year from the NRO account, provided you follow certain procedure. Balances in the NRE account are freely repatriable  and  you do not need any permission for remittance abroad for any amount. Procedure to remit / transfer funds from your NRO Account To transfer funds from your NRO Account, you need to submit documents to ascertain the nature of remittance and to ensure that proper taxes are paid. 1: Chartered accountant's certificate - Form 15CB A certificate under Form 15CB is required...