Lok Sabha Question No. 3332 (UNSTARRED), answered on 2017-08-04
Subject: Investment by Overseas Indians
Ministry: FINANCE
Asked by: MANSHANKAR NINAMA, RAMESH POKHRIYAL NISHANK

## GOVERNMENT OF INDIA MINISTRY  OF FINANGE DEPARTMENT OF EGONOMIC  AFFAIRS LOK SABHA

UNSTARRED QUESTION NO. 3332 TO BE ANSWERED ON FRIDAY, THE O4th AUGUST,2Ol7 SHRAVANA 13, 1939 (SAKA)  r lnvestment by Overseas lndians

## t3332.  SHRI MANSHANKAR  NINAMA: DR. RAMESH POKHRIYAL  "NISHANK'':

Will the Minister of FINANCE  be pleased  to state:

- (a) the amount  of funds remitted to the country by NRls/ Overseas  lndians in various sec'tors during the last three years, Sector-wise;
- (b) the amount rernitted  by the NRls/ Overseas lndian in terms of percentage  of Gross :Domestic  Products (GDP) during the said period;
- (c)  the nature  of impact of said investmenUremittance on the above sectos  and the details of the countries making large contribution  to lndia along with the States/ UTs , receiving maximum amount;  and
- (d) the steps taken by the Government to provide more facility in view of the contribution of NRls in development of country;  and
- (e) whether the Goveminent  proposes to encourage such investmenUremittance in the tribal areas ofthe country and il so, the details thereof and the steps taken by the Govemment  in this regard?

## ANSWER

## The Minister of State in the Ministry of Finance (SHRI ARJUN RAM MEGHWAL)

(a) to (c) Details  of remittances/private  transfers  by Non-Resident lndians (NRIs) as recorded  in lndia's Balance of Payments statistics  are set out in the Table below. Government does not maintain  sector-wise classification of remittances by NRls.

## Remittances  (Private Transfers)  received by lndia

| Year                                         | (in US$ billion)                             | (Per cent to GDP)   |
|----------------------------------------------|----------------------------------------------|---------------------|
| 2013-14                                      | 69.6                                         | 3.8                 |
| 2014-15                                      | 69.8                                         | 3.4                 |
| 2A15-16                                      | 65.6                                         | 3.1                 |
| 2416-17                                      | 61 .3                                        | 2.7                 |
| Source: Balance of payments statistics, RBl. | Source: Balance of payments statistics, RBl. |                     |

(d) to (e) The Government  has put in place a liberal ahd transparent  policy for Foreign Direct lnvestrnent (FDl), including investments  from Non-resident lndians (NRls), wherein  most of the sectors are open to FDI under the automatic route. The policy  allows special dispensation.for

NRI investments  in the sector of torrmships,  housing, built-up infraotructure and construc.tiondevelopment  projqc'ts (which include,  but are not resaric*ed  to, housing, commercial premises, hotels,  resorts, hospitrals,  educational institutions, recreational  facilities, city and regional bvel inftastruc'ture), without the conditionalities  attached  to FDI inr suctr projects..  lt also allows a special dispensation fior NRI investments upto 100% irnder the automatic rouE in the sec{ors of Scheduled  Air Transport Services,  Domestic  Scheduled Passenger  Airlines, Non-Scheduled Air Transport Services, Non-Scheduled  airlines, Charterpd air{ines and Cgrgo airlines. Further investment  made by NRls on non-repatriation  basis under Schedule 4 of Foreign Exchange Managernent  Act, 1999 (FEMA) Regulation is deemed to be domesfic investment at par with the invesfrnent  made by residents.

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