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of <h1>Foreign Investment Restrictions Limit Non-Resident Capital Inflows Without RBI Approval Under Regulatory Framework</h1> The statutory provision restricts Indian entities, investment vehicles, venture capital funds, firms, associations, and proprietary concerns from receiving investments from non-resident entities without prior approval. The Reserve Bank of India retains discretionary power to permit such investments upon application, subject to necessary conditions. The rule aims to regulate and control foreign investment inflows into Indian entities, ensuring systematic and controlled foreign capital participation.
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