Permitting Foreign Portfolio Investors (FPI) to invest in Municipal Bonds - SEBI - IMD/FPIC/CIR/P/2019/62

CIRCULAR IMD/FPIC/CIR/P/2019/62 May 08, 2019 To 1. All Foreign Portfolio Investors (through their Custodian of Securities) 2. All Custodians 3. The Depositories (NSDL and CDSL) 4. The Stock Exchanges (BSE, NSE and MSEI) Dear Sir / Madam, Subject: Permitting Foreign Portfolio Investors (FPI) to invest in Municipal Bonds 1. RBI vide A.P. (DIR Series) Circular No. 33 dated April 25, 2019 has permitted FPIs to invest in municipal bonds. 2. It is decided that in accordance with the provisions of Regulation 21(1)(p) of SEBI (Foreign Portfolio Investors) Regulations, 2014, FPIs are, henceforth, permitted to invest in municipal bonds. 3. This circular is issued in exercise of powers conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992. 4. A copy of this circular is available at the web page Circulars on our website www.sebi.gov.in. Custodians are requested to bring the contents of this circular to the notice of their FPI clients. Yours faithfully, ACHAL SINGH General Manager Tel No.: 022-26449619 Email: [email protected]