Banks block Indian promoters’ foreign NBFC plans
Mumbai: Some of the large banks are blocking plans of Indian promoters to form investment companies abroad.The banks fear such offshore entities are intended to sidestep the curbs on foreign currency remittance and undertake activities which are against the spirit of overseas investment regulations.At least two leading private sector banks have stalled overseas direct investment (ODI) proposals by Indian entities to set up overseas non-banking finance companies (NBFCs), two persons familiar with the discussions with the banks told ET.According to the overseas investment rules, that were framed by the government...