
Ultra-Rich Indians Find a New Route to Invest Their Cash Overseas
India's richest families have found a new way to buy global stocks and bonds through the nation's low-tax hub, offering a rare path for the super-wealthy to invest overseas.
Investments routed abroad through funds in the Gujarat International Finance Tec-City more than tripled to $778 million in six months through December, according to official data. The Reserve Bank of India opened the way for family offices to invest via the Overseas Portfolio Investment route in June.

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
5 hours ago
- Yahoo
India central bank's large rate cut squeezes forward premiums, leaves rupee vulnerable, analysts say
By Nimesh Vora and Jaspreet Kalra MUMBAI (Reuters) -The Reserve Bank of India's surprise outsized rate cut last week will leave the rupee vulnerable to further depreciation by pressuring already depressed foreign exchange forward premiums, several analysts said on Monday. The rupee has underperformed its Asian peers in 2025 amid weak capital flows. A narrowing interest rate differential — with the U.S. Federal Reserve moving slower than the RBI in cutting rates — suggests the Indian currency may continue to lag. MARKET REACTION The 1-month U.S. dollar/rupee forward premium — typically more sensitive to liquidity conditions — fell to 7.5 paisa, its lowest level since November. Meanwhile, the 1-year premium, which is more responsive to rate differential between the U.S. and India, declined to 1.5250 rupees, marking its lowest level in nearly a year. GRAPHIC: WHY IT'S IMPORTANT A drop in dollar/rupee forward premiums makes the rupee less attractive for carry trades, and diminishes the incentive for exporters to hedge future receivables. At the same time, it raises the likelihood that importers—who typically hedge near-term payment obligations—will step up their hedging activity. The decline in premiums - a less favourable rate differential between the U.S. and India - could leave the rupee open to sharper depreciation. CONTEXT Against the backdrop of benign inflation and the need to support growth, the Reserve Bank of India last Friday delivered a larger-than-expected 50 basis point rate (bps) cut, exceeding the 25 bps anticipated by economists. In a further easing move, the central bank slashed the cash reserve ratio for banks. KEY QUOTES "One thing the rupee had going for it is that it offered attractive carry ... with the 50-bps rate cut from the RBI, carry attraction has been reduced," Mitul Kotecha, head of FX and EM macro strategy Asia at Barclays, adding that in an environment where investors are again focussed on carry, the rupee's appeal has been diminished. Falling premiums can be a "mild added headwind" for the rupee amid globally elevated yields, Dhiraj Nim, FX strategist at ANZ Research, said, and pointed out that if India growth data weaken, there could be scope for one more rate cut.


Bloomberg
7 hours ago
- Bloomberg
Going Long on Short Bonds Gets Boost in India from RBI Cash Move
Investors are set to funnel surplus money into short-term bonds, further boosting an already favored play in India's debt market, after the central bank's surprise decision to inject more cash into the banking system. The Reserve Bank of India's unexpected move to release 2.5 trillion rupees ($29 billion) starting September may prompt lenders to favor shorter-tenor securities over longer-dated ones, say investors including UTI Asset Management Co. and PGIM India Asset Management.
Yahoo
13 hours ago
- Yahoo
City to activate rideshare hub by UTEP, Cincinnati Entertainment District
EL PASO, Texas (KTSM) — Signage designating a new rideshare hub will be installed on Monday, June 9, on the 200 block of W. Baltimore Drive, near the University of Texas at El Paso (UTEP) and the Cincinnati Entertainment District, the City of El Paso said in a news release. This initiative, which is part of the City's Social City Assessment Plan, was designed to improve public safety and expand transportation options in the Kern Place neighborhood, the City said. The City said the new rideshare hub is 'well-lit and equipped with security cameras, providing a safe and clearly designated location for rideshare and taxi services to pick up and drop off passengers.' The hub will be operational on Monday afternoon, immediately following the installation signage, the City said. The City said key benefits of the hub include: More organized and efficient passenger pick-ups and drop-offs; Reduced congestion caused by drivers circling the area or blocking traffic lanes; Enhanced safety through ride verification, helping riders ensure they are entering the correct vehicle. 'City officials encourage residents and visitors to begin using the Rideshare Hub, particularly those planning to attend the Coldplay concert at the Sun Bowl this weekend,' read the news release. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.