After Sebi diktat, Canada FPIs likely to knock on Finance Ministry's door

Canada ranks seventh in terms of FPI investments into India, the total being Rs 1.7 trillion as of February 28 this year.

Foreign portfolio investors (FPIs) from Canada that have been asked to wind down their investments in Indian equities within six months may approach the finance ministry to resolve the current impasse, said two people familiar with the matter.

The Securities and Exchange Board of India (Sebi), in February, had sent out letters to 26 FPIs based in Canada, asking them to shut down their funds as they were from jurisdictions that weren’t signatories to a multilateral framework for cooperation in securities regulation. 

Most of these FPIs belong to the Manitoba province in Canada which is not a signatory to the International Organisation