By Manoj Purohit

India stands as the world’s fourth-largest economy by GDP and among the fastest-growing economies globally. Considering the performance of the Indian economy, in the past few years, it has consistently enticed significant foreign investment.
Foreign investors, overseen by Sebi, predominantly engage in listed markets across various sectors. Despite prevailing geopolitical tensions worldwide, India’s capital markets have sustained a robust growth trajectory, reinforcing its appeal as a favoured investment destination.

In recent years, the Indian equity markets have demonstrated notable resilience and growth. With capital markets delivering multi-fold returns over a five-year horizon, Indian markets have significantly outperformed several global equity indices. This sustained outperformance has enhanced India’s attractiveness as an investment destination, leading to heightened interest from foreign investors.

Foreign investment in the Indian capital markets is primarily undertaken by foreign direct investors (FDIs), foreign portfolio investors (FPIs), and persons resident outside India (PROIs). The present regulations permit FPIs to invests up to 10% of total........

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