Investment from Israel into India must follow the FDI Policy and the Non-Debt Instruments Rules 2019: the right route and sectoral cap, fair value pricing, receipt through banking channels, allotment within 60 days and Form FC-GPR within 30 days of allotment. Transfers between Israeli and Indian holders are reported on FC-TRS within 60 days. Every Indian company with foreign investment files the FLA return by 15 July each year. Late filings can be regularised by paying late submission fees or by compounding.
- Document route
- Israeli notary, then apostille
- Time difference
- IST is 2.5 to 3.5 hours ahead
- Law
- FEMA 1999 and NDI Rules 2019
- New shares
- FC-GPR within 30 days of allotment
FDI & FEMA Compliance from Israel: how it works
We map the investment: the sector, any caps or approval requirements, the instruments and the valuation. For sensitive sectors where Israeli investors are active, such as defence and telecom, government approval or security clearance may be needed. We prepare valuation coordination with a chartered accountant or merchant banker, the board and shareholder resolutions, and the FIRMS filings. Downstream investment by the Indian company into other Indian companies is reviewed for indirect foreign investment rules.
For existing Indian companies with Israeli investors, we conduct FEMA health checks, identify missed filings and pricing issues, and regularise them through late submission fees or compounding with the RBI. Watch for share swaps, deferred consideration and escrow arrangements, which have specific conditions, and for ODI rules if the Indian company invests back into Israel.
What clients in Israel should know
- An Israeli investor's beneficial ownership is reviewed for Press Note 3 only if any owner is from a country sharing a land border with India; Israeli-owned structures are generally outside it.
- Israeli funds with complex structures should map their ultimate beneficial owners early, as Indian banks increasingly ask.
- Repatriation of dividends, buy-back proceeds and sale consideration to Israel is permitted after tax and filings.
Step by step from Israel
Video consultation
A call at a time that suits Israel, after we have read your documents.
Documents signed in Israel
Israeli notary, then apostille
Work in India
Our team files, appears and follows up in India, and shares scans of everything filed.
Result and handover
Certified copies and originals are couriered to you in Israel where needed.
The full guide
This page covers what changes when you are in Israel. For the law, the documents and the step-by-step procedure, read our main page on FDI & FEMA Compliance, or see all services for clients in Israel and the Doing Business in India practice area.
Questions from clients in Israel
What happens if FC-GPR was filed late?
It can be regularised by paying a late submission fee, within the permitted time, or through compounding.
Do we need RBI approval to invest?
Not under the automatic route. Government approval is needed only for sectors or amounts outside it.
Is the FLA return needed every year?
Yes. Any Indian company that has received foreign investment files it annually, by 15 July, even in a year with no new investment.