Non-Repatriable Demat Account (NRO Demat Account) Documentation Guide

A Non-Repatriable Demat Account is specifically designed for Non-Resident Indians (NRIs) who want to invest in Indian stocks, bonds, mutual funds, and other securities but do not wish to repatriate (transfer) the funds outside of India. The funds and income in this account can only remain within India and cannot be transferred back abroad.

1. Introduction

• What is a Non-Repatriable Demat Account?

  • This account is for NRIs who want to invest in Indian financial markets using income sourced within India (e.g., rent, dividends). The key feature of this account is that the funds and income cannot be transferred back to the NRI’s country of residence (hence, "non-repatriable").

• Purpose: To enable NRIs to invest in India using their Non-Resident Ordinary (NRO) account funds. These funds typically come from earnings within India and must stay in India.

2. Eligibility for Opening a Non-Repatriable Demat Account

• NRI/PIO Status: Only Non-Resident Indians (NRIs) and Persons of Indian Origin (PIOs) are eligible to open a Non-Repatriable Demat Account.

• NRO Bank Account: Must have a valid Non-Resident Ordinary (NRO) savings or current bank account in India. This account will be linked to the Demat account for transaction settlement.

3. Documents Required for Non-Repatriable Demat Account

• For the NRI Applicant:

  • Passport: A copy of the valid passport.

  • Proof of Overseas Address: Utility bill, bank statement, or government-issued document showing the NRI's overseas address (no older than 3 months).