Investments made in India can be either on repatriation basis or on non-repatriation basis. Investments can be made up to a certain limit depending on whether the investments are on repatriable or on non-repatriable basis.

Investment on Non-Repatriable Basis :

• Presently, there is no limit on the investments to be made in preference shares / non-convertible debentures of Indian companies by NRI's through stock exchanges in India.
  
• NRI's can invest any amount in new issues of equity / preference shares and convertible debentures of public or private companies provided the companies do not engage in agriculture, plantation or real estate business. (excluding development of property and construction business).
  
• Investments made by NRI's in equity shares and convertible debentures of companies through recognised stock
  
• Exchanges in India cannot exceed 10% of the total paid up equity capital of the company he/she is investing in.
  
• NRI's who are interested in investing in partnership and proprietary concerns can put in any amount of investments. However, OCBs aren?t permitted to invest in such an avenue.
  
• NRI's can invest any amount of money in units of the UTI, central government or state government securities.
  
• NRI's can invest any amount in the Money Market Mutual Funds.Similarly, NRI's can invest any amount in Master Shares of the UTI through stock exchanges.
  
• There is no limit on purchase of shares of Indian companies by NRI's/ OCBs by private arrangement.
  
• NRI's can invest any amount in bonds issued by public sector undertakings.

Investments on Repatriation Basis :

• Purchase of equity shares / preference shares through stock exchanges cannot exceed 5% of the companies total paid up equity or preference capital.
  
• NRI's can invest any amount in non-convertible debentures of companies through a stock exchange.
  Investments in public offerings made by the companies is possible only up to 51% of the issue.
  
• NRI's who desire to invest in 100% Export oriented units and in units in export processing zones can invest up to 100% of the equity capital.The present rules allow NRIs to invest up to 100% in priority industries ( as defined by the Annexure III, Ministry of Industries Press Note, 8th October 1997.
  
• NRI's can invest any amount in master shares issued by the UTI through a recognized stock exchange.
  
• NRI's can invest any amount by way of direct investment in new issues of non convertible debentures.
  
• NRI's can invest up to 100% of the equity in housing and real estate development business.
  
• NRI's can invest up to 100% of the equity capital of sick industrial units.
  
• NRI's can invest up to 100% in Air Taxi operations.

Bringing Gold/Silver to India

An NRI can bring up to 10 Kgs.of gold and 100 kg of silver into India once every 6 months as a part of their personal baggage. But he/she must have stayed abroad for a continuous period of 6 months.The passenger can either bring the gold/silver himself at the time of the arrival or import the same within fifteen days of his arrival in India. The NRI has to pay a customs duty of Rs.400/- per 10 grams and Rs. 500/- per kg for gold and silver respectively in convertible foreign currency. The gold/siver ornaments studded with stones and pearls will not be allowed to be imported under the scheme.

The passenger can also obtain the permitted quantity of gold from Customs bonded warehouse of State Bank of India and Minerals and Metals Trading Corporation Ltd. subject to conditions.He is required to file a declaration on the prescribed Form before the Customs Officer at the time of arrival in India stating his intention to obtain the silver from the Customs bonded warehouse and pay the duty before clearance.