India raises limit for foreign investment in stock exchanges

NEW DELHI (Reuters) - The Indian government on Wednesday raised the limit for foreign investment in the country's stock exchanges to 15 percent from 5 percent, saying the change would enhance India's global competitiveness and boost its capital markets.

India also approved a proposal that will allow foreign portfolio investors to acquire shares when they are initially offered for sale, as in an IPO, and not just on the secondary market.

(Reporting by Aditi Shah; Editing by Catherine Evans)