Finance Ministry Notifies Common Application Form For Foreign Portfolio Investor Registration
This will significantly reduce the processing timelines and greatly enhance operational flexibility and ease of access of FPIs.
The finance ministry has notified a common application form for registration of foreign portfolio investors in a bid to enhance operational flexibility and ease of access to the Indian capital market.
Last week, markets regulator Securities and Exchange Board of India had come out with a common application form for registration of FPIs, allotment of the permanent account number and carrying out of Know Your Customer for the opening of bank and Demat accounts.
"The finance ministry has notified the revised common application form for foreign portfolio investors which would serve as a single-window platform for the purpose of registration with SEBI, allotment of personal account number and opening of bank and demat accounts," Economic Affairs Secretary Atanu Chakraborty said in a tweet.
This will significantly reduce the processing timelines and greatly enhance operational flexibility and ease of access of FPIs to Indian capital markets, he added. The applicants seeking FPI registration need to fill the common form prescribed by the regulator, declaration providing supporting documents and applicable fees for registration and issuance of PAN.
With regard to additional information, SEBI said Category-I FPIs have to apply for separate registration for the purposes of hedging the offshore derivative instruments with derivatives as underlying in India as well as details of eligible Category-I entity.
Besides, information regarding 'Ultimate Beneficial Owner' for each fund that invests in India needs to be disclosed and entities required to declare that they are not a bank or a subsidiary of a bank.