D-Remit for NRI – NPS Subscribers: PFRDA Circular
D-Remit or Direct Remittance for NRI – NPS Subscribers who can contribute to their NPS accounts from funds in their NRO/NRE accounts: PFRDA Circular dated 03.02.2021
PENSION FUND REGULATORY
AND DEVELOPMENT AUTHORITY
B-14/A, Chhatrapati Shivaji Bhawan,
Qutub Institutional Area,
Katwaria Sarai, New Delhi-110016
CIR no. PFRDA/2021/4/SUP-CRA/4
February 03, 2021
All stakeholders under NPS
Subject: D-Remit for NRI – NPS Subscribers
Reference may be taken of PFRDA circular no. PFRDA/ 2020/44 /SUP-CRA/17 dt 01.10.2020 (copy enclosed).D Remit or Direct Remittance offers the most convenient mode of depositing voluntary contributions into NPS which also optimizes the long term retirement wealth creation by offering same day NAV. Through D Remit, not only one time contributions can be made but also periodic NPS contributions can be automated for any defined amount and for any defined date from the Subscribers bank account.
2. PFRDA, has now decided to extend the option of contribution into NPS through D Remit to NRI-NPS Subscribers who can contribute to their NPS accounts from funds in their NRO/NRE accounts. Also at the time of withdrawal/ Exit, the proceeds of NPS shall be credited into NRO /NRE account of NRI subscribers and repatriation would be as per applicable FEMA guidelines .
3. Under D Remit, the contributions received at Trustee Bank before 9.30 AM on any bank working day (other than Saturday, Sunday, Bank Holidays etc) shall be considered for same day investment. The amount received post 9.30 AM shall be considered for investment on the next bank working day.
4. Central Record Keeping Agencies (CRAs) are advised to develop the required system level functionalities to enable D Remit for NRI-NPS Subscribers with suitable declaration as mentioned in point no 2, at the earliest.
This circular is issued in exercise of powers conferred under Section 14 of PFRDA Act, 2013 to protect the interests of the Subscribers and is available on PFRDA’s website (www.pfrda.org.in) under Regulatory Framework and in Circular Section of CRA and Trustee Bank.
(K. Mohan Gandhi)