The Reserve Bank today doubled the sub-limit for investment in government securities to $10 billion by long-term investors like sovereign wealth funds and foreign central banks, with a view to attract more funds.
"It has now been decided, in consultation with government to enhance, with immediate effect, the existing sub-limit of $5 billion available to long-term investors registered with SEBI–- SWFs, multilateral agencies, pension and foreign central banks for investment in government securities to$10 billion...," RBI said in a notification.However, the total limit of $I30 billion available for foreign investments in government securities has not been tinkered with.Foreign institutional investors-- qualified foreign investors (QFIs) and long-term investors-- registered with.