An NRI in Kuwait can invest in an Indian company or LLP on a repatriation basis, treated as foreign investment with pricing and reporting rules, or on a non-repatriation basis, treated almost like a resident's investment. We review the business, negotiate an agreement that protects you while you are in Kuwait and make sure FEMA filings are completed so that your capital can return.
- Document route
- Kuwaiti Ministry of Justice notarisation, Kuwait Ministry of Foreign Affairs attestation, then Embassy of India attestation
- Time difference
- IST is 2h30 ahead of Kuwait time all year (no daylight saving)
- Law
- FEMA 1999 and NDI Rules 2019
- Routes
- Repatriable (Schedule 1) or non-repatriable (Schedule 4)
Legal Advisory for NRI Investors from Kuwait: how it works
Your goals decide the route, so we discuss them first. Due diligence covers the company's MCA filings, capital history, charges, litigation, GST and tax compliance, and ownership of key assets and licences such as hotel or restaurant permits. If a relative runs the business as a proprietorship, we usually recommend incorporating before you invest, so your money becomes shares or a partnership interest rather than an informal promise.
The shareholders agreement and articles then carry your protections: regular accounts, a veto on new shares and large borrowings, a board or observer seat with meetings by video, pre-emption and exit rights, and online arbitration seated in India. Repatriable money comes from Kuwait by bank remittance or from your NRE account, and the company reports the allotment to the RBI within 30 days. After that, we review the annual accounts and any proposal for new shares or major loans for you, so that decisions taken while you are in Kuwait do not quietly dilute your stake.
What clients in Kuwait should know
- Sending money to a relative to invest informally creates proof problems; invest in your own name with documents.
- NRIs may not invest in farming, plantations or a real estate trading business under either route.
- Dividends from Indian companies are taxed in India and not taxed in Kuwait.
Step by step from Kuwait
Video consultation
A call at a time that suits Kuwait, after we have read your documents.
Documents signed in Kuwait
Kuwaiti Ministry of Justice notarisation, Kuwait Ministry of Foreign Affairs attestation, then Embassy of India attestation
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 Kuwait where needed.
The full guide
This page covers what changes when you are in Kuwait. For the law, the documents and the step-by-step procedure, read our main page on Legal Advisory for NRI Investors, or see all services for clients in Kuwait and the Doing Business in India practice area.
Questions from clients in Kuwait
Can I invest in my cousin's restaurant in Kochi?
Yes, but incorporating the business first gives you documented shares and clear rights.
Can I serve as a director from Kuwait?
Yes. With a director identification number and digital signature, you can attend meetings by video from Kuwait.
Who reports the investment to the RBI?
The Indian company files the allotment report and the annual foreign liabilities and assets return.