Return to India
The saying, ‘Home is where the Heart is’ goes well with the millions of NRIs spread on every corner of the world; whose heart still beats for India inspite of residing miles away from their motherland. And with Indian economy and real estate poised at a favorable state, many are contemplating their return to India, to get the best out of the investment opportunity.
But what is it that motivates you to return to India? Is it
- Capital Appreciation Indian real estate has to offer
- A Second home
- An Asset to fall back on
- Accessibility to international lifestyle
- Opening up of the global job market
As India’s economy booms and continues to maintain a steady 8 per cent GDP growth, NRIs are looking towards returning to India for investments. But, the NRIs contemplating return to India seek to maintain their ongoing lifestyle; thereby, motivating the property developers in India to come up with innovative residential and commercial projects of international standards.
The developers are keenly focusing to meet this specific aspiration of the NRIs, who want to experience the living standards of Europe and US, yet feel the warmth and hospitality of their motherland. This includes luxury homes and apartments, penthouses, villas and condominiums.
Recent trends have highlighted that NRI investment for residential properties in India either serve as second homes, vacation homes, investment property or as retirement homes. NRIs have also been investing their money in the lucrative commercial real estate market in India as the capital values and rental values for corporate office spaces and retail mall spaces are appreciating high returns.
Facilities to returning NRIs/PIO
Under RBI guidelines, facilities available to returning NRIs/ PIO is that, they
- may continue to hold, own, transfer or invest in foreign currency, foreign security or any immovable property situated outside India, if such currency, security or property was acquired, held or owned when resident outside India.
may open, hold and maintain with an authorized dealer in India a Resident Foreign Currency (RFC) Account to transfer balances held in NRE/FCNR(B) accounts. Proceeds of assets held outside India at the time of return, can be credited to RFC account. The funds in RFC accounts are free from all restrictions regarding utilization of foreign currency balances including any restriction on investment in any form outside India.
Exemption for NRIs returning to India
When an NRI/PIO returns to India for permanent residence, he enjoys the following exemption from wealth tax for seven years after return to India
- the money and the value of assets brought by him
- Value of the assets acquired by him out of such money within one year immediately preceding the date of his return
- Basic exemption of Rs. 15 lakhs is also applicable.
Global Job Opportunities
With multinational companies picking from the cream of attractive resource pool of India and the country offering multiple job avenues to explore, many NRIs have begun to return to India.
Riding the wave of the IT revival in India, giant conglomerates like Wipro, Infosys, and Satyam is earnestly planning to dominate tech hiring wave here thereby trying to give their domestic counterparts a backseat. And, in doing so, they have been succeeded to tempt NRI professionals, who generally fill up for top and middle level positions.
A lot of high value recruitment is likely to take place in coming few years. For NRIs, this clearly underlines the fact regarding advantages of returning back to India outweighing the disadvantages by far.
Supporting the trend is development of Indian economy that is growing nicely at 6 to 7 percent annually. A wise investment in India can easily become your wealth creating tool and get investors a handsome profit margin. For that reason, cross border investors are taking great interest in putting in a modest amount of capital in India with the advantage of repatriation of the funds invested.
Companies hiring NRIs on return to India
Some of the IT & ITES companies which are actively hiring NRIs returning to India are:
Wipro Technologies: Known to be India’s third largest outsourcer, Wipro has been successful in carving out a niche for itself in the Indian market. It witnesses strong volume development in its global IT business, especially from its breakthrough services based on technology infrastructure, enterprise application, and utility market. Wipro is hiring competent people working outside the Indian sub-continent and are looking forward to explore prospects in India, especially if they have plans to return to India.
Motorola Returns to India: Establishing presence with captive centers in Hyderabad, Motorola is in a look out for returnees.
L&T Infotech: The Company is actively looking for technocrats and NRI's interested in a move back.
Riding a boom in offshore outsourcing, Indian outsourcing company Wipro reported strong growth in revenue