Question : PREFERENCE SHARES TO FOREIGN INVESTORS



(a) whether issue of preference shares to foreign investors are treated as Foreign Direct Investment;

(b) if so, the details thereof;

(c) whether such investment through the preference shares route are being considered for the purposes of sectoral cap on foreign equity;

(d) if so, the details thereof;

(e) whether it is also a fact that such preference shares carries conversion right as well; and

(f) if so, the details thereof ?

Answer given by the minister

MINISTER OF STATE IN THE MINISTRY OF FINANCE ( BALASAHEB VIKHE PATIL)


(a) to (f) : The information is being collected and will be laid on the Table of the House.