Application to Reserve Bank of India for Direct Investment in a Joint Venture/ Wholly Owned Subsidiary Abroad. Form ODI is available as an Annex to the ‘Master Circular on Direct Investment by Residents in Joint Venture (JV) / Wholly Owned Subsidiary (WOS) Abroad’ dated July 1,2014’ available on the RBI website.
With effect from March 2, 2010, Authorized Dealers Category – I banks have to file Part I (Sections A to D), II and III of form ODI on-line in the Overseas Direct Investment Application with the Reserve Bank for allotment of UIN, reporting of subsequent remittances, filing of APRs, etc. AD Category – I banks would continue to receive the ODI forms in physical form from the Indian Party.
Financial commitment means the amount of direct investments outside India by an Indian Party –
- by way of contribution to equity shares or CCPS of the JV / WOS abroad
- contribution to the JV / WOS as preference shares (for reporting purpose to be treated as loan)
- as loans to its the JV / WOS abroad
- 100% of the amount of corporate guarantee issued on behalf of its overseas JV/WOS and
- 50% of the amount of performance guarantee issued on behalf of its overseas JV/WOS.
- bank guarantee/standby letter of credit issued by a resident bank on behalf of an overseas JV / WOS of the Indian party, which is backed by a counter guarantee / collateral by the Indian party
- Creation of charge (pledge / mortgage / hypothecation) on the movable / immovable property or other financial assets of the Indian party / its group companies