FPI investment base expanded

Reserve Bank of India has expanded the investment basket of eligible instruments applicable to foreign portfolio investors (FPIs) under the corporate bond route. It will now include unlisted corporate debt securities issued by public or private companies and securitised debt instruments. FPIs can invest in unlisted corporate debt securities in the form of non-convertible debentures/bonds having a minimum residual maturity of three years and end-use restriction on investment in real estate business, capital market and purchase of land.