NRIs and OCIs do not need prior approval to buy or sell real estate in India: RBI

1/1/2022 11:31:00 AM

Non-Resident Indians (NRIs) and Overseas Indian Citizens (OCIs) do not need prior approval to buy or sell real estate like homes in the country, the Reserve Bank of India (RBI). “At present, NRIs and OCIs are governed by the provisions of the Foreign Exchange Management Act (FEMA) 1999 and do not require the prior approval of the RBI for the acquisition and transfer of real estate in India, other than agricultural land, farms, plantations, ”RBI said in a statement. The central bank released the clarification because it received a large number of questions based on media reports on a Supreme Court ruling, on whether prior RBI approval is required for the acquisition or the transfer of real estate in India by OICs. “It is hereby clarified that the relevant Supreme Court judgment dated February 26, 2021 was related to the provisions of FERA, 1973, which was repealed under Section 49 of FEMA, 1999”, specified the RBI. Source: The Bharat Express news

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