SEBI has clarified that FPIs have only been barred from issuing ODIs with derivative instruments as the underlying

SEBI has clarified that an article has been carried in a section of media suggesting that SEBI has prohibited FPIs from issuing Overseas Derivative Instruments (ODIs). This is incorrect as FPIs have only been barred from issuing ODIs with derivative instruments as the underlying. As on date, there are no ODIs with derivative instruments as the underlying. It is further clarified that ODIs referencing cash market securities can continue to be issued.