The Centre and the Reserve Bank of India (RBI) have told the Securities and Exchange Board of India (Sebi) to put on hold any plans to allow overseas corporate bodies to undertake two-way fungibility transactions in American depository receipts (ADRs) and global depository receipts (GDRs).
The government is reviewing the scheme, which allows domestic shares to be converted into ADRs and GDRs and vice versa. It is considering the advisability of allowing overseas corporate bodies to participate in such transactions.