The government wants a change in the India-Singapore Comprehensive Economic Cooperation Agreement (Ceca), to explicitly bar the city state’s investment companies Temasek and GIC from having a combined equity stake of more than 10% in any Indian listed company.According to portfolio investment regulations stipulated by market regulator Sebi, a foreign institutional investor (FII) cannot hold more than 10% in any single Indian company. Different FIIs with a common owner are classified as an “FII group’’ and are also subject to the 10% cap. GIC and Temasek have a common owner— the Singapore government—but the Ceca treats them as separate entities. Full Story
