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<h1>Swap of equity instruments permits resident-nonresident transfers subject to prescribed rules, regulations and prior government approval where applicable.</h1> Transfer by swap permits cross-border transfers between a person resident in India and a person resident outside India either as a swap of equity instruments-subject to rules prescribed by the Central Government and regulations specified by the Reserve Bank-or as a swap of equity capital of a foreign company-subject to Central Government rules including the Overseas Investment Rules, and Reserve Bank regulations. Prior Government approval must be obtained where applicable. 'Equity capital' carries the meaning given in the Overseas Investment Rules, 2022.