Foreign Direct Investments (FDI)
into India are subject to Pricing
Guidelines prescribed by Reserve
Bank of India (RBI). As per these
guidelines, a Benchmark Price is
determined as per the valuation
method prescribed.
By way of Notification No.
FEMA205/2010‐RB dated 7th April
2010 and Circular No. 49 dated 4th
May 2010, the Reserve Bank of India
(RBI) has amended the FDI
Regulations regarding pricing
guidelines. These notifications are in
force from the date of its publication in the Official Gazette
i.e. 21st April 2010.
The guidelines in relation to transfer or
issue of shares from a resident to a nonresident
and for transfer of shares from
a non‐resident to a resident have been
amended for listed and unlisted shares.
These changes have been summarized
below:
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