Union Cabinet approved for Raising foreign shareholding limit and Bilateral Investment Treaty (BIT) between India and Cambodia
Raising foreign shareholding limit from 5% to 15% in Indian Stock Exchanges:
The Union Cabinet has given its
approval for raising foreign shareholding limit from 5% to 15% in
Indian Stock Exchanges for a stock exchange, a
depository, a banking company, an insurance company, a commodity derivative
exchange.
Details:
- The Cabinet has also approved the proposal to allow foreign portfolio investors to acquire shares through initial allotment, besides secondary market, in the stock exchanges.
- The move will help in enhancing global competitiveness of Indian stock exchanges by accelerating/facilitating the adoption of latest technology and global best practices which will lead to overall growth and development of the Indian Capital Market.
Bilateral Investment Treaty (BIT) between India and Cambodia:
The Union Cabinet has approved Bilateral
Investment Treaty (BIT) between India and Cambodia.
Details:
- The Treaty seeks to promote and protect investments from either country in the territory of the other country with the objective of increasing bilateral investment flows.
- The Treaty encourages each country to create favourable conditions for investors of the other country to make investments in its territory and to admit investments in accordance with its laws.
- The Treaty is the first Bilateral Investment Treaty in accordance with the text of the Indian Model BIT, approved by the Cabinet in December, 2015.
