Lord Swraj Paul meets PM Modi; welcomes decision on NRI investments

NEW DELHI(PTI): London-based industrialist Lord Swraj Paul on Friday met Prime Minister Narendra Modi and conveyed his appreciation of the recent decision of Indian government to treat NRI investments at par with resident investments.

Paul told Modi that government’s decision to allow such investment on non-repatriable basis was a welcome first step and that soon after the announcement he had made a personal investment of Rs 25 crore into a finance company operated by his Caparo Group in India.

Aiming to attract overseas funds, government recently decided that non-repatriable investments by NRIs, OCIs and PIOs will be treated as domestic investments and will not be subject to foreign direct investment caps.

Investments by NRIs under Schedule 4 of FEMA regulations will be deemed to be domestic investment at par with the investment made by residents.

Welcoming Modi’s Make-in-India initiative, the NRI industrialist said that he had pumped in Rs 125 crore in the last three months to upgrade the facilities and expand the India business of his Caparo Group.

Caparo, founded in 1968, is a fast growing UK based group with a 1 billion euro turnover. Its India business comprise some 30 plants, most of them manufacturing automotive and engineering products.

Paul later called on former Prime Minister Manmohan Singh and Home Minister Rajnath Singh.