The Reserve Bank has removed the restriction on foreign investment in IDFC after foreign shareholding in the company fell below the prescribed level. A notification from RBI said the shareholding by foreign institutional investors/foreign portfolio investors in IDFC have gone below the prescribed FII/FPI investment limit. Hence, the restrictions placed on the purchase of shares by FII/FPI of the above company, are withdrawn with immediate effect. Foreign portfolio investors held 32.18% stake in IDFC. Now FIIs, NRIs and persons of Indian origin can invest in primary and secondary capital markets in India through PIS.
