Full Form of OCB

What is OCB?

An Overseas Corporate Body (OCB) is a company, partnership firm, society, or trust that is owned or controlled by Non-Resident Indians (NRIs) or Overseas Citizens of India (OCIs) and is established outside India. In the Indian regulatory context, OCBs were primarily used as investment vehicles to bring foreign funds into India under the Foreign Exchange Management Act (FEMA). They played a significant role in portfolio investments, real estate purchases, and direct investments during the 1990s and early 2000s. However, following concerns about round-tripping and misuse, the Reserve Bank of India (RBI) restricted fresh OCB investments in 2003, allowing only existing OCBs to continue with prior approval. Today, OCBs are largely historical in Indian finance, but understanding them remains important for professionals dealing with legacy investment structures, taxation, and FEMA compliance. In examinations such as the UPSC, CA, and CS, OCBs appear in questions related to foreign investment regulations and the evolution of India's capital account policies. The term is also used in banking and legal contexts when reviewing old transactions or advising NRI clients on permissible investment routes.

OCB का फुल फॉर्म

Example

The real estate developer structured the funding through an OCB registered in Singapore to comply with FEMA guidelines before the 2003 ban.

OCB — frequently asked questions

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