The Scheme shall apply to investments in Sovereign Green Bonds issued by the Government of India by eligible investors in the IFSC in India.
Eligible investors
The following persons will be eligible to participate in the Scheme (hereinafter referred to as ‘investors’) as specified in para 6(a):
- Persons resident outside India as defined in Section 2(w) of the FEMA, 1999, that are eligible to invest in the IFSC, as specified by IFSCA, and are not incorporated in High-Risk Jurisdictions subject to a Call for Action as identified by FATF; and
- An IBU of a foreign bank which does not have a branch or subsidiary licensed to undertake banking business in India.
- Persons resident outside India as treated under Foreign Exchange Management (International Financial Services Centre) Regulations, 2015, that are eligible to invest in the IFSC, as specified by IFSCA, and are not incorporated in High-Risk Jurisdictions subject to a Call for Action as identified by FATF provided that such persons are not a branch, joint venture, subsidiary or trust of an entity incorporated in India.
However, funds / schemes, including the ones setup by entities incorporated in India, regulated by IFSCA under the IFSCA (Fund Management) Regulations, 2022 shall be considered as eligible investors under the Scheme.
The Scheme shall come into force with immediate effect.
Link – https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12730&Mode=0