Why, Where, and How Should NRI's Invest in India?

India is an attractive destination for investment. NRIs can leverage this and put their money to good use. This blog explains why, where, and how you can make an NRI investment in India.



Why should NRIs invest In India?


India is one of the world’s fastest-growing economies. This is why India is an excellent country to invest your wealth in, at the same time help your homeland. Also, most Indians plan on getting back to India for their retirement or even before, which is why they engage and invest in the Indian economy. 

 

Another reason to invest in India in the presence of a stable government and the flow of foreign investments. This has led to an immense scope of growth for your investments. The GDP growth rate of India is one of the fastest among major economies. 


Here are 3 reasons why NRI investment in India is a good option:


  1. Growth Story Intact:

Consumption in India is expected to triple to that of 2018 by the year 2025. India is set to be the fifth-largest economy in the world overtaking the UK. Expanding economy means, companies have potential. Therefore it makes sense to invest in India as an NRI.


  1. Demographic in India:

65% of the population of India is under the age of 35, and of consumerist mentality and an appetite to spend. This demographic focuses on improving their lifestyle which means companies have the potential to do better. This is yet another reason why investing in India can be good for an NRI. 


  1. Big-spending corporates:

MNC like Ikea, Netflix, are investing in Indian markets be it their marketing or operations realizing the potential of the country. NRIs can get on the bandwidth and make their wealth work for them. 


Where can you invest as an NRI?


Here are a few attractive NRI investment in India that you can explore:


  1. Equity investments:

NRIs can directly invest in equity using their Demat account linked to their NRO account. However, research is necessary before buying the stocks of a company. 


  1. Mutual Funds:

Mutual funds allow you to choose a comfortable plan for you to invest in taking into account your financial profile and risk appetite. 


  1. Real Estate:

A common notion that NRIs cannot invest in real estate in India is untrue. NRIs can invest in any residential property, however, they cannot make investments in agricultural projects. 


Also read,- 7 Myths about NRI home loans. 


  1. Government bonds:

There are multiple zero risks and low returns options that NRIs can choose from if you have a low-risk appetite. 


How to invest in India as an NRI?


NRIs can invest in India through their banks just like everyone else. There are attractive products in the market that can help you with your investments. You can also get professional help from bankers as well as financial advisors. 


Also, read- Investment planning mistakes by NRIs


Do we hope this blog gave you answers to- Should NRIs invest in India? Where should NRIs invest in India? And How can NRIs invest in India? SBM bank offers portfolio investment services in India, feel free to comment your questions below or get in touch with us and we can help you out. 

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