investing in securities under LRS

IFSCA has vide its circular dated 19th February, 2021 clarified that for resident individuals who want to open a current account in a banking unit situated in GIFT-IFSC, the minimum net worth criteria of USD1 million is not applicable. This is because the account is going to be opened for the purpose of routing the investment in securities under the Liberalised Remittance Scheme of the RBI. Only in such cases the minimum net worth criteria has been dispensed with.

Otherwise a qualified resident individual can open a current account with a banking unit at GIFT-IFSC if he has a minimum net worth of USD1 million. This is for the purpose of undertaking transactions which are either current account or capital account or a combination of both. These accounts are held in freely convertible currency.

Copy of the circular can be found here

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