India is planning to open the country's equity markets to foreign retail investors in its latest move to reform Asia's third-largest economy and boost its double-digit growth hopes, people familiar with the matter said.
A panel set up by the government to explore ways of increasing foreign capital inflows had recommended that the finance ministry make it easier for foreigners – in particular wealthy foreign nationals of Indian origin – to buy shares on Indian exchanges, a person who worked on the panel said.
Ashvin Parekh, a partner at Ernst & Young in Mumbai, who has also been working with the finance ministry on the project, said: “The finance ministry has accepted the recommendations in principle as it wants to capitalise on India's incredible growth by attracting more foreign investors.”