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Home News

India classifies OCIs as “foreign nationals”

NRI Affairs News Desk by NRI Affairs News Desk
August 5, 2021
in News
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A notification issued by the Ministry of Home Affairs in India on March 4 has classified Overseas Citizens of India as ‘Foreign Nationals’.

Indian passport, travel document
Photo: NRI Affairs


This notification was issued under Section 7B of the Citizenship Act, 1955 and superseded three earlier notifications issued on April 11, 2005, January 5, 2007, and January 5, 2009, which stated the rights of the OCIs.

Key points:

  • The Ministry of Home Affairs in India has classified Overseas Citizens of India as ‘Foreign Nationals’.

  • This notification was issued earlier this month under Section 7B of the Citizenship Act, 1955.

  • OCIs can continue to purchase land (other than agricultural land) and pursue career in medicine, law, architecture and accountancy.

    This notification was issued under Section 7B of the Citizenship Act, 1955.and superseded three earlier notifications issued on April 11, 2005, January 5, 2007, and January 5, 2009, which stated the rights of the OCIs.

    The new notification brings in new restrictions for OCIs in India. These restrictions include a requirement for OCIs to secure a special permit to undertake ‘any research’, undertake any missionary, Tablighi or journalistic activities, or visit any area in India notified as ‘protected’, ‘restricted’ or ‘prohibited’.

    The notification also classifies OCIs to “foreign nationals” regarding “all other economic, financial and educational fields” for the Foreign Exchange Management Act, 2003.

    Although past circulars by the Reserve Bank of India under FEMA will hold ground, the notification has clarified.

    For the last 16 years, OCIs were equated to Non-Resident Indians rather than “foreign nationals” for their economic, financial and educational rights.

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    OCIs can continue to purchase land (other than agricultural land), pursue medicine, law, architecture and accountancy, and seek parity with Indian citizens concerning airfares and entry fee to monuments and parks.

    OCIs can also continue to seek enrolment in Indian educational institutions on par with NRIs but not for seats reserved exclusively for Indian citizens.

    The new notification brings in new restrictions for OCIs in India. These restrictions include a requirement for OCIs to secure a special permit to undertake ‘any research’, undertake any missionary, Tablighi or journalistic activities, or visit any area in India notified as ‘protected’, ‘restricted’ or ‘prohibited’.

    The notification also classifies OCIs to “foreign nationals” regarding “all other economic, financial and educational fields” for the Foreign Exchange Management Act, 2003.

    Although past circulars by the Reserve Bank of India under FEMA will hold ground, the notification has clarified.

    For the last 16 years, OCIs were equated to Non-Resident Indians rather than “foreign nationals” for their economic, financial and educational rights.

    OCIs can continue to purchase land (other than agricultural land), pursue medicine, law, architecture and accountancy, and seek parity with Indian citizens concerning airfares and entry fee to monuments and parks.

    OCIs can also continue to seek enrolment in Indian educational institutions on par with NRIs but not for seats reserved exclusively for Indian citizens.

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NRI Affairs News Desk

NRI Affairs News Desk

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