The Indian economy has ranked in the top five fastest-growing economies in the world over the last 30 years. According to the IMF, the Indian economy is expected to grow by 8.8 percent in 2021, even with the pandemic. According to a PwC report, India is expected to be the 2
nd
largest economy in the world by 2050. This means that investing in India is a great option for investors. Read below to know why NRI should invest in India:
Better Interest RatesBanks in India offer better interest rates than several other countries, such as Saudi Arabia, China, Japan, Australia, the US, etc. Interesting, right? But usually, NRIs do not know this fact and end up letting their money stagnate in Europe or the US.
DiversificationBesides the general geographical diversification, you can diversify your portfolio with investments like stocks, liquid funds, debt funds, equity funds, and more across industries and sectors.
The Value Of CurrencyThough the Indian economy has been booming over the past many years, the power of currencies like the Euro, Pound sterling, and the USA has increased in comparison with the rupee.
Currency | Amount | Value in INR (2010) | Value in INR (2020) |
Euros |
โฌ1000 |
โน60,590 |
โน87,901 |
Pound sterling |
ยฃ1000 |
โน71,660 |
โน97,417 |
USD |
$1000 |
โน45,085 |
โน74,240 |
The value of your Euro, Pound sterling, or USD investments is sure to grow. This means that youโll be able to earn good returns.
6 Investment Options For NRIsReal estate property
NPS
Govt. Bonds & Securities
P2P lending
Indian Stocks
Mutual funds
I think these answers might be helpful to you:
Check whether NRIs can purchase agricultural land in India or not Learn how NRIs can purchase properties in India Find out what is the best investment for NRI in IndiaI hope you like my answer on why should NRI invest in India.
India is considered among one of the fastest-growing economies. Saving in rupees can be a great option for NRIs. Here I will explain why NRI should invest in India, also in which ways NRIs should invest in India.
For a better and safe future
One of the biggest reasons why NRIs choose to invest in India is that they plan long term and choose to invest in shares, stocks, mutual funds, government bonds, and securities, and real estate majorly in the country. It acts as a safe option that they can use in the future.
Interest Rate benefits
India provides high-interest rate return benefits on foreign currency. Whereas other nations like the US, England, or Germany do not provide more than 2% to 3% interest return.
Real Estate market is rapidly growing
NRIs can invest in the real estate market as the real estate market is growing at a rapid speed. If you invest in a property after a few years, that property will give you a high return on investment. You can always rent out the property and enjoy monthly incomes.
Mutual Fundsย
Mutual Funds are also a great option for NRIs to invest in India as in the past few years the Indian stock market has marked its place internationally by a surplus of 40% return.
A few things that the NRIs must remember however are:
They canโt operate their Indian savings account after moving out of the country
They must convert their savings account into NRE or NRO account
They should not buy a joint property with someone who lives in India
I hope this answer helps you to understand why NRI should invest in India and what are some of the things they should be careful about.
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Why NRI should invest in India
Rafia Batool
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April 13, 2021
2021-04-13T09:53:03+00:00 2021-04-28T15:18:49+00:00Comment
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