Reserve Bank of India (RBI) allowed state-run oil explorers to invest in their incorporated overseas entities without any limits under the automatic route.
It may be recalled that earlier, the navratna public sector undertakings (PSUs) like OVL and OIL were allowed to invest in overseas unincorporated entities only.
But the central bank liberalised the existing norms to enable these firms to invest in the incorporated JV/WOS in oil sector (for exploration and drilling for oil and natural gas) overseas.
The proposed norms may boost investment by these firms in overseas exploration and drilling projects in the oil and natural gas sector.
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