Jan 23, 2024

Inclusion of Sovereign Green Bonds in Fully Accessible Route

With a view to enabling non-residents to seamlessly invest in specified Government securities, the RBI in consultation with the Government of India had introduced the ‘Fully Accessible Route’ (‘FAR’) for investors. Under this route, eligible investors, being ‘any person resident outside India’, can invest in such securities by way of FAR, without any quantitative limit on such investment. The various Government securities which are eligible for investment under this route are termed as ‘specified securities’ and are notified by the RBI from time to time. Recently, the RBI, by way of a Circular dated November 8, 2023, has designated ‘sovereign green bonds’ to be issued by the Government in the fiscal year 2023-24 as ‘specified securities’ for the purpose of investment under the FAR. This Circular has come into immediate effect on the date of its Notification.

TAGS

SHARE

DISCLAIMER

These are the views and opinions of the author(s) and do not necessarily reflect the views of the Firm. This article is intended for general information only and does not constitute legal or other advice and you acknowledge that there is no relationship (implied, legal or fiduciary) between you and the author/AZB. AZB does not claim that the article's content or information is accurate, correct or complete, and disclaims all liability for any loss or damage caused through error or omission.