India becomes No.1 in recieving NRI deposits

India has become the largest remittances receiving country at USD 72 billion this year followed by China at USD 64 billion, as per a World Bank report.

The US emerged as the largest remittance source country with an estimated USD 56 billion in outward flows in 2014.

Full report is here

Don’t sell your Indian immovable properties fearing FATCA

There are disconcerting reports about the US based Non-resident Indians (NRIs) selling their immovable properties in India in panic.

Don't rush, it's all good/ Reuters

Some are selling to their relatives in the sobering belief that the discount on account of distress sale would at least go to their kindred souls. The panic stems from Foreign Accounts Tax Compliance Act (FATCA) of the US pursuant to which India, as indeed other countries, is committed to furnishing all the information about Indian properties and Indian income of residents of the US.

There is however no need for panic because FATCA hasn’t altered the Indo-US Double Taxation Avoidance Agreement (DTAA). 

Read full story here

Advantages of the policy change and the ‘fine print’

According to a July 2014 report by the Migration Policy Institute, 2.6 million Indian immigrants live in the US, making it the third largest immigrant population in that country. The report added that remittances from migrants form a relatively small part of the GDP of India (about 3.7%) but constitute the world’s largest inflow in absolute terms with inward remittances of around $67 billion (in 2013 alone).

In its diaspora, India has assets which can contribute immensely to economic growth. However, till some time ago, the regulatory framework was not the most conducive. For example, if an NRI was to invest through his company based in the US, such investment would be considered as foreign investment, and would need to comply with restrictions imposed under exchange control laws.

But the NDA seems to have done its bit in shaking up the regime. The two questions that emerge are, what are the advantages of the policy change and what is the ‘fine print’?

Find out here

Dos and don’ts for NRIs who apply for home loans

Buying a home 'back in India' is every NRI's dream. Thankfully, it can be fulfilled due to availability of easy home loan facilities, relaxed rules by the RBI and online transacting options.
So if you've shortlisted a property and want to approach a bank, it will be a good idea to ensure that you meet certain criteria.
Check out the criteria here

NRIs can invest in pension scheme

To widen the ambit of investors in the National Pension Scheme (NPS) and also to provide social security, the Reserve Bank of India (RBI) said that Non-Resident Indians (NRIs) can contribute to the popular NPS.

The subscription amounts can be paid by the NRIs through normal banking channels or from their funds held in NRE/FCNR/NRO accounts.

Read the whole story here 

NRIs can soon vote through E-Vote

The move to allow e-voting by NRIs got a major push with the Indian government submitting before the Supreme Court that the union cabinet would soon consider a draft bill in this regard before it is tabled in the parliament.

The government is also planning to extend the facility to armed forces personnel and defence personnel and their family serving away from their native place, including abroad.

A bench  headed by Chief Justice H L Dattu  then directed the government to enable e-voting by NRIs within three months after making necessary amendments to Representation of Peoples Act 1951 which deals with elections in the country.

Read the full story here

Kerala sets up NRI commission

In a good move for the millions of Keralisties residing outside India, the government has set up a NRI Commission. The only other state witha similar body is Punjab.
This is a welcome move in a state like Kerala as NRIs form the backbone of the state economy.
A four-member NRI Commission with quasi-judicial powers is to be set up in Kerala to protect the rights, interests, and properties of Non-Resident Indians (NRIs) hailing from Kerala. 
A retired judge of the High Court will head the Commission, which will be headquartered in Thiruvananthapuram. A retired IAS officer and two NRIs will be the other members. The secretary of the commission will be in the rank of the joint secretary. 
The commission will hold sitting once in every three months. Briefing mediapersons after the weekly Cabinet here on Wednesday, Chief Minister Oommen Chandy said the commission would also have powers to protect the deposits of NRIs, liaison with the State and Union governments to protect the interests of NRIs and check illegal recruitments. The commission will be able to make inquiry on the suo moto cases or on the request being made by the government.

Excellent inflow of NRI funds

Consistent improvement in operating profits, treasury operations and other income have significantly contributed to South Indian Bank achieving a net profit of Rs 93.38 crore in the second quarter, a 22 per cent growth over the corresponding period last year. Emphasising that the bank has maintained its asset quality in a challenging environment, VG Mathew, Managing Director and CEO, of the bank said the focus on various retail sectors for asset growth has started yielding results.
Read the interview here

Saudi woman honoured for promoting Yoga

A prominent Saudi Arabian woman who has been working to introduce Yoga in the Gulf countries, has been honoured by the Indian consulate in Saudi Arabia.
Full report here

Sanjeev Gupta re-starts mothballed UK steel plant

An Indian-origin tycoon has made British steel history by resuming production at his 40-year-old mothballed plant here even as the UK steel industry is facing severe hardships due to a global slump.

Sanjeev Gupta, managing director of international steel and metals group Liberty House, hailed the resumption of production at the Liberty Steel Newport rolling mill on the banks of the river Usk in Newport as the start of a new era.

UK-based Gupta founded Liberty as a metals trading company from his student flat at Cambridge University in 1992.

The firm acquired the Newport facility in 2013 and retained the 150 staff over the intervening period in order to be ready to restart when market conditions allowed.

Read full Economic Times report

Square Yards opens office in Qatar

Square Yards, a real estate startup focussed on the NRI segment, has opened its office in Doha, Qatar. This is the startup's third office in the Gulf Co-operation Council (GCC region) after Dubai and Abu Dhabi.
The Gurgaon-based company sees massive potential in Qatar which it claims has over 500,000 Indians with nearly 30% qualifying in the Middle/ Upper-Middle Income category. Through the new office, Square Yards aims at serving the NRI clientele better who want to invest in India but lack sufficient knowledge.
Read complete story here

Britain plans tougher English tests

Bad news for all those who want to go to Britain for studies ....


Britain is considering tougher new English tests for foreign students, a move set to negatively impact the already dwindling number of overseas students, including from India, applying to study in the country.
Read the full economic times report here

Air Kerala possible

There is still hope if some laws are changed...
 
Air Kerala - a dream project of the Kerala government to own an airline in the PPP mode - would be a success in case the Centre relaxes certain civil aviation rules, a Kerala businessman said.
Read the full story

H-1B visa get cheaper

Good news for Indian IT companies

In a big relief for Indian IT cos US Congress lets ‘discriminatory’ outsourcing H-1B fee to lapse. The “discriminatory” USD 2,000 H-1B fee, which was mostly imposed on Indian IT companies has now lapsed in a Republican-majority US Congress.

Read full report by andhrawishesh here

Tips for NRI buyers for buying house in India

Moneycontrol has published a detailed checklist for NRIs buying home in India this will be useful for many....


There are plenty queries and ambiguity around a purchase, executing Power of attorney (POA), home loan and tax matters related to an investment in property in India for non-resident Indians (NRI). A few basic questions and answers here to guide a homebuyer, starting from the inception of the idea to buy, till the property gets sold and money transferred back abroad. 
 Read the full story here

Gold Bond and Gold Monetisation scheme and NRIs

Gold has been a very popular investment option for Indians and those living abroad (especially in the Gulf) have been taking bullion and jewellery back home with each visit.However, this became difficult after the Indian government put strict controls and import duty on gold.Now, the Indian cabinet has approved a new Gold Bond and Gold Monetisation scheme to reduce the metal's demand in physical form and fish out idle gold lying with households and other entities.The new scheme allows Indians to buy 500 grams per person in India and will be issued in 2, 5 and 10 grams of gold or other denominations. The tenor of the bond could be for a minimum of 5-7 years so that it protects investors from medium-term volatility in gold prices.
Read full story here

NRI donates Rs 1 crore to Kochi-Muziris Biennale

Some good news for art.

A leading NRI businessman today donated Rs one crore to the third edition of the Kochi-Muziris Biennale (KMB) scheduled next year.
The financial support by Gulf-based Indian businessman M A Yusuff Ali for KMB 2016, beginning December 12, 2016, comes a day before Bakrid.

Read more here

NRI deposits climb to $11b

A report in Financial Chronicle

NRI deposit inflows are nearing $11 billion so far this year, helped by a weak rupee. In the first seven months of last year, NRI deposits worth about $8.5 billion flew in.

In each of the seven months (January-July) in this calendar year, NRI deposits inflows worth $1-2 billion have come in. Liquidity factor and safety element of bank deposits continue to attract NRIs, say bankers.

Full report here

NRI seats lie vacant In Punjab Medical Colleges

When there is huge rush for MBBS seats in most states, 264 MBBS and BDS NRI seats have no takers in Punjab, a report in Link claims.
Only seven students took admission in the NRI category against the availability of 271 seats – 102 MBBS and 169 BDS – in 21 medical and dental colleges of Punjab.
Besides, none of these seven students opted for the BDS seat.

Though 17 NRI students qualified PMET-2015 by obtaining 50 per cent marks in the medical entrance test, only seven of them appeared in the counselling for admission conducted by Baba Farid University of Health Sciences (BFUHS) here today.
The NRI seats are seen as a big financial advantage for the medical and dental colleges. Every college has 15 per cent NRI seats and the full course fee for NRI MBBS and BDS seat is $1,10,000 and $44,000, respectively.
Read full report here

Kerala banks have over Rs.1 lakh crore NRI deposits

Now thats a looot of money... The economic situation in Gulf is not so robust, but looks like it has not affected the Malayalees. 

The deposits made by Non Residents (NR) in Kerala banks crossed the Rs.1 lakh crore mark by June 30 this year, according to a report released here on Tuesday.

The State Level Bankers Committee report said the total deposit was Rs.1,17,349 crore -- an almost 25 percent jump from Rs.94,097 crore as on June 30, 2014.

Read the full Business Standard report here