Key facts
- Foreign investors in government securities (GSecs) will be exempt from capital gains tax.
- The exemption takes effect from April 1, 2026.
- The Bank for International Settlements (BIS) also receives similar tax exemptions.
An ordinance has been passed to exempt foreign investors from paying capital gains tax on their investments in government securities (GSecs). This significant policy change is set to take effect from April 1, 2026. In addition to foreign investors, the ordinance also extends similar tax exemptions to the Bank for International Settlements (BIS). This move is expected to attract more foreign capital into the government debt market.