The Tarapore Committee has recommended phasing out P-notes in its report on capital account convertibility. Here's what investor and trader, Rakesh Jhunjhunwala feels about foreign investors, reports CNBC-TV18.

"We should allow non-Indians to invest in India, I have more faith in FIIs than FDI. We need capital," said Rakesh Jhunjhunwala.

Jhunjhunwala added that the government should look at an alternative mechanism for P-notes before stopping them.

"Even if the government decides to do away with P-notes, we have to give time for P-notes to unwind and allow alternative mechanism for investment to people, who want to invest because we need capital," he added.