We, however, need to examine the existing caps and link it to the monetary ceilings applicable under the Liberalized Remittance Scheme (LRS) (remittance of $ 200,000 for permitted current and capital account transactions).
Some of the ceilings which may require rationalization include ceiling to acquire qualification shares and shares of a foreign entity in part/full consideration of professional services rendered to the foreign company or in lieu of Director’s remuneration, to acquire shares offered through an ESOP scheme globally, on uniform basis, in a foreign company which has an equity stake, directly or indirectly, in the Indian company.