India’s revised rules under the Foreign Exchange Management Act (FEMA) are set to boost outbound capital flows, with the UAE emerging as a prime destination. Wealthy Indians are expected to channel up to $20 billion annually into overseas markets, diversifying into real estate, businesses, and equities, making the UAE one of the top beneficiaries of this financial liberalisation.
By expanding the scope for Overseas Direct Investment (ODI) and Overseas Portfolio Investment (OPI), the new framework allows individuals and companies to invest abroad under the Automatic Route without prior RBI approval. This regulatory ease strengthens India-UAE financial ties, positioning the Emirates as a global hub for Indian capital seeking long-term growth and security.
