What Is a Non-Repatriable Demat Account?

A non-repatriable demat account is used when NRIs want to invest funds that remain in India. Through this account, you can freely transfer your principal and interest amount overseas. Additionally, it is mandatory to link your non-repatriable demat account to your NRO bank account.

When you move overseas and obtain an NRI status, you should close your existing resident demat account. Additionally, you can also convert it into an NRE or NRO demat account under FEMA guidelines.

No, a PIS account is not mandatory to open an NRO demat account for investment in the Indian stock market on a non-repatriable basis.

Yes, an NRI can open a joint trading account in India; however have certain restrictions. Considering this, the joint holder can be NRI with NRI, NRI with resident Indian- allowed in certain cases, generally for "either or survivor" operational mandates, subject to FEMA guidelines.

Repatriable demat accounts offer easy fund transfer without any restrictions and should be linked to a non-resident external (NRE) account for operations. In contrast, non-repatriable demat accounts restrict fund transfers within India and require linking with a non-resident ordinary (NRO) account for functioning. Further, both account types need a separate demat account for conducting their operations.