The Reserve Bank of India (RBI) has introduced a new operational framework that allows for the reclassification of foreign portfolio investments (FPI) into foreign direct investments (FDI). This framework stipulates that FPI investments can be reclassified as FDI if they exceed certain thresholds. The initiative aims to streamline investment processes and enhance regulatory clarity. Additionally, the RBI is reportedly reassessing its position on supply-chain finance products offered by non-banking financial companies (NBFCs), as indicated by a communication from the Finance Industry Development Council (FIDC). This reconsideration suggests potential changes to the offerings of some NBFCs, as advised by the RBI.