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ARTICLE · 02 JULY 2026

MoF Notifies Foreign Exchange Management (Non-Debt Instruments) (Third Amendment) Rules, 2026

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Ministry of Finance (“MoF”) through notification no. S.O. 3030(E) dated 12.06.2026, notified the Foreign Exchange Management (Non-debt Instruments) (Third Amendment) Rules, 2026 (“NDI Amendment Rules”) to amend the Foreign Exchange Management (Non-debt Instruments) Rules, 2019 (“NDI Rules”).

IndiaFinance and Banking
Sagus Legal LLP
Sagus Legal LLP

Ministry of Finance (“MoF”) through notification no. S.O. 3030(E) dated 12.06.2026, notified the Foreign Exchange Management (Non-debt Instruments) (Third Amendment) Rules, 2026 (“NDI Amendment Rules”) to amend the Foreign Exchange Management (Non-debt Instruments) Rules, 2019 (“NDI Rules”).

The salient features of the NDI Amendment Rules are as follows:

1. Expansion of Chapter V to all individual non-residents: The heading of Chapter V has been substituted from “Investment by non-resident Indian or an overseas citizen of India” to “Investment by an individual person resident outside India including a non-resident Indian or an overseas citizen of India”, expanding the chapter from being applicable only to Non-Resident Indian (“NRIs”)/ Overseas Citizen of India (“OCIs”) to covering all individual non-resident investors.

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