RBI permits NRIs to become nominees in savings bonds
By Our Banking Bureau | 11 Dec 2003
Mumbai:
The Reserve Bank of India has permitted non-resident
Indians (NRIs) to become nominees in respect of the
6.5-per cent savings bond, 2003 (non-Taxable) or the
8 per cent savings bond (taxable).
The
sole holder of the bond may nominate an NRI as his nominee
in respect of interest and redemption value of the investment
in the bonds and the nomination will be registered in
the books of the bank or agencies, according to an RBI
press release.
The
normal regulations in regard to the foreign remittances
as applicable to NRIs from time to time will continue
to govern these cases also, the release said. At present,
NRIs are not eligible to invest in these bonds nor can
they be made nominees.