| Facilities for returning Indians
|Import of Gold /
NRIs Nationals can bring into India , as part
of their baggage, once in six months, gold upto 10 Kgs , if they have
stayed abroad for a continuous period of six months. Gold can be brought
into India in any form, including ornaments (other than those studded
with stones and pearls). NRIs can bring upto 100 kg of silver. Customs
duty has to be paid @ Rs. 250/- per 10 gms for gold and @ Rs.500 per
kg for silver. The gold/silver so brought can be sold to residents
against payment in rupees, by means of crossed cheque in India, which
has to be credited to the NRO account of the seller.
In various housing projects taken up by the Life
Insurance Corporation of India (LIC) for providing residential houses
to its policy holders, 5 per cent is normally reserved for allotment
to NRI Policy Holders. LIC Housing Finance Limited, has a separate
scheme for grant of individual housing loan to Non-resident Indians
viz., Grih Shobha under loans upto a maximum of Rs.2.5 million are
advanced for construction/purchase/extension of flat. LIC also accepts
repayment of outstanding balance of housing loans from returning Indians
in Indian rupees.
The New Indian Insurance Company Limited (NIC),
a subsidiary of General Insurance Corporation of India has devised
a scheme for personal accidents and expenses following death (occurring
in foreign countries due to accidents or sickness). This is a special
scheme offered to meet the requirement of NRIs. The premium payable
is very nominal in comparison to the risk coverage. NIC has entered
into an agreement with the Government of Kerala for the implementation
of the scheme.
In Private Medical Colleges/Dental Colleges, 15%
of seats are reserved for admission to children of NRIs/PIOs, without
any requirement of admission tests. The availability of seats for
children of NRIs/PIOs in such institutions will be approximately 450.
In other Universities and Colleges, students including NRIs are admitted
as per Government of India Policy and will have to pay fees as applicable
to Indian students.
Resurgent India Bonds:
As a follow-up of the Budget Speech made by the
Union Finance Minister, the State Bank of India launched "Resurgent
India Bonds" denominated in foreign currency (US Dollars, Sterling
Pounds and Deutsche Mark) for subscription by NRIs. The Resurgent
India Bonds generated deposits worth US Dollars 4.16 billion.
India Millennium Scheme:
The Unit Trust of India will be launching a new
"India Millennium Scheme" which will be open for subscription in dollars
only by NRIs. The money collected under this scheme would be invested
in shares of Indian companies with high potential for growth and in
high quality Indian debt.
The Government has decided to draw up a scheme
for issuance of Persons of Indian Origin (PIO) Cards for Persons of
Indian Origin living abroad with foreign passports. PIO cards, which
would be extended to Persons of Indian Origin settled in countries
to be specified by the Government would, besides introducing a visa
free regime, also confer some special economic, educational, financial
and cultural benefits to the holders.
Incorporation of a company:
To facilitate setting up of industrial projects
in India by NRIs, RBI has allowed i. NRIs/ PIOs to subscribe to the
Memorandum and Articles of Association and take up shares of an Indian
company for the purpose of its incorporation ii. the company to issue
shares to Non Resident Indians/Persons of Indian Origin subject. This
is subject to the condition that the total face value of the shares
to be taken up by such persons should not exceed Rs.10,000/- and the
company should hold have RBI/ FIPB approval for the investment or
a letter of intent/industrial license /acknowledgment of Industrial
Entrepreneurs Memorandum issued by the Secretariat for Industrial
Assistance, Department of Industrial Policy and Promotion or provisional
registration from the State Government authority. The Indian company
availing of the general permission is required to file the details
with the RBI.
Investment by NRIs for establishing of schools and colleges in India:
NRIs are allowed to invest in establishing of schools
and colleges in India. General permission is available if the investment
is made by NRIs on non-repatriation basis. If the investment is on
a repatriation basis, specific permission from RBI will be required.
In case tf the educational institution requires affiliation to any
University/Board, it will have to comply with the regulations of the
concerned State/Central Government under whose jurisdiction the educational
institution is located.
PIOs can now visit India on multi entry visa provided
they hold letter of intent/acknowledgment of Industrial Entrepreneurs
Memorandum/Licence or provisional registration with the State Director
of Industries to establish industry. Persons of Indian origin may
approach the Consulate General/ High Commission /Embassy of India
for getting endorsement on their Passport for single/multi entry purposes.
The spouses of PIOs can also be granted multi entry visa upto 5 years.