New Delhi, Feb 1 : The government on Sunday said Indians living abroad can now invest in stocks through the Portfolio Investment Scheme (PIS).

Other measures for non-resident investment announced in Budget 2026 including raising the individual investment limit for Persons Resident Outside India (PROIs) from 5 per cent to 10 per cent, increasing the overall investment limit for all PROIs from 10 per cent to 24 per cent, and allowing residents living abroad to invest in Indian equities via a portfolio route.

The Portfolio Investment Scheme allows non-resident Indians and foreign investors to buy and sell Indian stocks through a special bank account approved by the RBI.

The scheme sets clear limits on how much an investor and a company can invest or receive, ensures regulatory compliance, and permits investors to repatriate their funds.

It sets investment limits, usually 5 per cent per individual and 10 per cent total per company, and ensures all transactions follow regulatory rules. Funds invested can be repatriated.

In her Budget speech, Finance Minister Nirmala Sitharaman proposed relaxing these limits for foreign individuals.

She announced that the investment cap per investor will be raised from 5 per cent to 10 per cent, while the overall foreign ownership limit in a company will increase from 10 per cent to 24 per cent.

The new rules will also allow Indians living abroad to invest in Indian equities through the portfolio route.

The government said the higher limits are aimed at bringing more long-term foreign capital into Indian companies by widening the investor base.

This move is expected to attract more stable investment flows and further strengthen Indiaâ??s domestic capital markets.

Meanwhile, Finance Minister also proposed a Rs 5,000 crore outlay for the City Economic Regions scheme. She also announced a review of Foreign Exchange Management Act (FEMA) rules related to non-debt instruments.

/IANS