The Reserve Bank of India (RBI) has notified that the foreign shareholding by Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs) in Axis Bank has gone below the threshold limit.

"Hence the restrictions placed on the purchase of shares of  Axis Bank are withdrawn with immediate effect," RBI said.

For the quarter ended March 2015, FIIs held 46.64% in Axis Bank.

Shares of the company declined Rs 3.50, or 0.63%, to settle at Rs 550.65.