MANU/RPRL/0288/2013
Ministry : Reserve Bank of India
Department/Board : RBI
Press Release No. : 2013-2014/1100
Date : 29.11.2013
Notification/ Circulars Referred : DBOD.CID.BC.No.74/20.16.042/2013-14 dated November 29, 2013 MANU/DBOD/0157/2013
Citing Reference:
DBOD.CID.BC.No.74/20.16.042/2013-14 dated November 29, 2013 MANU/DBOD/0157/2013 Modified
Investments, directly or indirectly by any person, whether resident or otherwise are limited to 10% of the equity capital of a Credit Information Company (CIC). However, investments under FDI was permitted up to 49% subject to the conditions stipulated in the directive DBOD.DL.BC.No.85/20.16.040/2008-09 and Press Release dated November 20, 2008
At present, investments, directly or indirectly by any person, whether resident or otherwise are limited to 10% of the equity capital of a Credit Information Company (CIC). However, investments under FDI was permitted up to 49% subject to the conditions stipulated in the directive DBOD.DL.BC.No.85/20.16.040/2008-09 and Press Release dated November 20, 2008.
The Reserve Bank of India, Foreign Exchange Department (FED) vide Notification dated August 30, 2013 has revised the FDI + FII limits in CICs from 49% to 74%, subject to conditions specified therein.
To implement the above measure, RBI in supersession of its directive dated November 20, 2008 referred to above, has issued a revised directive DBOD.CID.BC.No.74/20.16.042/2013-14 dated November 29, 2013, allowing higher FDI limits to entities which have an established track record of running a Credit Information Bureau in a well regulated environment, as under:
(a) up to 49% if ownership of the investor company is not well diversified
(b) up to 74% if ownership of investor company is well diversified, or if not well diversified, subject to conditions stipulated in the revised directive dated November 29, 2013, referred to above.
Ajit Prasad
Assistant General Manager