FDI in Credit Information Companies (CIC) is allowed up to 49% (FDI and FII) through government approval route.
The other conditions in this regard are:
(1) Foreign investment in Credit Information Companies is subject to the Credit Information Companies (Regulation) Act, 2005.
(2) Foreign investment is permitted under the Government route, subject to regulatory clearance from RBI.
(3) Investment by a registered FII under the Portfolio Investment Scheme would be permitted up to 24% only in the CICs listed at the Stock Exchanges, within the overall limit of 49% for foreign investment.
(4) Such FII investment would be permitted subject to the conditions that:
(a) No single entity should directly or indirectly hold more than 10% equity.
(b) Any acquisition in excess of 1% will have to be reported to RBI as a mandatory requirement; and
(c) FIIs investing in CICs shall not seek a representation on the Board of Directors based upon their shareholding.