The RBI, by way of a Circular dated June 5, 2026, has amended the regulatory framework governing investments by Foreign Portfolio Investors (‘FPIs’) in Government securities. With a view of providing greater ease of investment, the RBI has decided to withdraw the requirements for FPIs to comply with the short-term investment limit, security-wise limit, and concentration limit for their investments in Government securities under the General Route. Additionally, the sub-categories of investment limits, viz., ‘general’ and ‘long-term’, have been merged into a single limit for investment in Central Government securities and State Government securities, respectively. The RBI has also decided to additionally designate certain instruments as ‘specified securities’ under the Fully Accessible Route (‘FAR’), including all new issuances in 15-year, 30-year, and 40-year tenors of Government securities, all new issuances in five-year, seven-year, 10-year, 15-year, 30-year, and 40-year tenors of Sovereign Green Bonds, and certain existing securities. The directions contained in the Circular have come into effect immediately.