Top sector for foreign investment in India

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India has finally opened up its insurance sector to private and foreign investors. See report.

Opportunities for foreign investors in Indian stock markets

Merill Lynch, Oppenheimer,
J.P. Morgan, Morgan Stanley, Grindlays,
Standard Chartered, HSBC,
American Express are among the foreign financial giants operating in India.

Financial services (banking and non-banking)

• India has one of the most developed financial markets in the developing world. Tremendous scope exists for both banking and non-banking financial institutions from other countries. The insurance sector, nationalised suinmce 1971, has been opened up according to an announcenebt made in November 1998. A legislation to to this effect is expected by early 1999.

• Top companies from the United Kingdom and the United States among others are already active in India's financial markets. markets. Some of the big names are: Merrill Lynch, Oppenheimer, J.P. Morgan, Morgan Stanley, Grindlays, Standard Chartered, Hong Kong and Shanghai Banking Corporation among others.

• Foreign institutional investors (FIIs) have been allowed to invest in the stocks and securities markets with rights of full repatriation and withdrawal. Their presence has added a new dynamism to the market. Click here to view opportunities for foreign investors in Indian stock markets

• India already has foreign exchange reserves of US$27 billion which is considered very comfortable, but the country needs to use foreign skills and networks to be able to manage the huge sums for its development needs.

• Local financial Institutions such as the Industrial Development Bank of India (IDBI), Industrial Credit and Investment Corporation of India (ICICI), Industrial Finance Corporation of India , Unit Trust of India and the Shipping Credit and Investment Corporation of India have raised billions through the most sophisticated financial instruments including Deep Discount Bonds.

• Indian firms are showing increasing liking for Global Depository Receipts (GDR) listed in London. American institutions are trying to promote American Depository Receipts (ADR) listed in New York.

• After much dithering, India has finally opened up the insurance sector to private and foreign investors. Click here for details.

Insurance sector to open up
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Opportunities for foreign investors in stock markets
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