Foreigners Can Now Invest Directly in Indian Stocks

Individuals residing outside India will be allowed to invest in equities through the Portfolio Investment Scheme.

The individual investment limit is proposed to be raised from 5% to 10%, while the total cap for all such investors is set to increase from 10% to 24%.

This change will enable significant foreign individual investors to hold larger stakes in Indian companies, potentially enhancing price discovery, increasing shareholding diversity, and promoting long-term capital growth.