**Policy Summary: Inclusion of Sovereign Green Bonds under the Fully Accessible Route (FAR) for Non-Resident Investment**
This circular, reference number RBI/2022-23/169 FMRD.FMID.No.0714/01.006/2022-23, issued by the Reserve Bank of India (RBI) on January 23, 2023, announces the inclusion of Sovereign Green Bonds issued by the Government in fiscal year 2022-23 as specified securities eligible for investment under the Fully Accessible Route (FAR) for non-resident investors. This decision builds upon the FAR framework introduced on March 30, 2020, which allows non-residents to invest in specified Central Government securities without restrictions, aligning them with domestic investor access. The specific Government Securities previously eligible under FAR were outlined in circulars FMRD.FMSD.No.2514/01.006/2019-20 dated March 30, 2020, and FMRD.FMID.No.04/14.01.006/2022-23 dated July 07, 2022. This new directive, issued under Section 45W of the Reserve Bank of India Act, 1934, takes effect immediately.
For further information, contact Dimple Bhandia, Chief General Manager, Financial Markets Regulation Department, Central Office Building, 9th Floor, Shahid Bhagat Singh Marg, Fort, Mumbai – 400001. Telephone: +91 22 2260 1000. Fax: +91 22 2270 2290. Email: cgmfmrdrbi.org.in.
Key Entities Referenced
Reserve Bank of India: The central bank of India, which issued the circular.
Government Securities: Debt instruments issued by the government.
Nonresidents: Individuals or entities not residing in India.
Sovereign Green Bonds: Green bonds issued by the government of India to fund environmentally sustainable projects.
Fully Accessible Route: A channel introduced by the Reserve Bank of India allowing unrestricted investment by non-resident investors in specified government securities.
A.P. DIR Series Circular No. 25: A circular issued by the Reserve Bank of India on March 30, 2020, introducing the Fully Accessible Route (FAR).
Reserve Bank of India Act, 1934: The legislation under which the Reserve Bank of India operates and derives its authority.
Mumbai, Maharashtra: The city and state where the Financial Markets Regulation Department of the Reserve Bank of India is located.
RESERVE BANK OF INDIA
www.rbi.org.in
RBI/2022-23/169
FMRD.FMID.No.07/14.01.006/2022-23 January 23, 2023
To
All participants in Government Securities market
Madam/Sir,
‘Fully Accessible Route’ for Investment by Non-residents in Government Securities –
Inclusion of Sovereign Green Bonds
A reference is invited to the Press Release on Issuance Calendar for Marketable Sovereign
Green Bonds: FY 2022-23 dated January 06, 2023, issued by the Reserve Bank, notifying the
issuance calendar for Sovereign Green Bonds for the fiscal year 2022-23. Attention is also
invited to the Fully Accessible Route (FAR) introduced by the Reserve Bank, vide A.P. (DIR
Series) Circular No. 25 dated March 30, 2020, wherein certain specified categories of Central
Government securities were opened fully for non-resident investors without any restrictions,
apart from being available to domestic investors as well.
2. The Government Securities that were eligible for investment under the FAR (‘specified
securities’) were notified by the Bank, vide circular no. FMRD.FMSD.No.25/14.01.006/2019-
20 dated March 30, 2020 and circular no. FMRD.FMID.No.04/14.01.006/2022-23 dated July
07, 2022.
3. It has now been decided to also designate all Sovereign Green Bonds issued by the
Government in the fiscal year 2022-23 as ‘specified securities’ under the FAR.
4. The Directions contained in this circular have been issued under Section 45W of Chapter
IIID of the Reserve Bank of India Act, 1934 and are without prejudice to permissions/
approvals, if any, required under any other law.
5. These Directions shall be applicable with immediate effect.
Yours faithfully,
(Dimple Bhandia)
Chief General Manager
�वत्तीय बाज़ार �व�नयमन �वभाग,क�द्र�य कायार्लय भवन, नौवीं मंिजल, शह�द भगत �सहं माग,र् फोटर्, मुंबई–400001.भारत
फोन: (91-22) 2260 1000,फैक्स: (91-22) 22702290 ई-मेल: cgmfmrd@rbi.org.in
Financial Markets Regulation Department, Central Office Building, 9th Floor, Shahid Bhagat Singh Marg, Fort, Mumbai – 400001. India
Tel: (91-22) 2260 1000, Fax: (91-22) 22702290 e-mail- cgmfmrd@rbi.org.in
�हन्द� आसान है, इसका प्रयोग बढ़ाइए