Explain the following: Global Depository Receipts.

According to Section 2 (44) of the Companies Act, 2013, "Global Depository Receipt" means any instrument in the form of a depository receipt, by whatever name called, created by a foreign depository outside India and authorised by a company making an issue of such depository receipts. Section 41 of the Companies Act, 2013 authorizes a company to issue Global Depository Receipts after following the conditions as prescribed in Companies (Issue of Global Depository Receipts) Rules, 2014. It is a form of depository receipt or certificate created by the Overseas Depository Bank outside India denominated in dollar and issued to non-resident investors against the issue of ordinary shares or foreign currency convertible bonds of issuing company. It is traded in Europe or the US or both.