FDI policy further liberalized in key sectors Cabinet approves amendments in FDI policy 100% FDI under automatic route for Single Brand Retail Trading     100% FDI under automatic route in Construction Development     Foreign airlines allowed to invest up to 49% under approval route in Air India     FIIs/FPIs allowed to invest in Power Exchanges through primary market     Definition of ‘medical devices’ amended in the FDI Policy The Union Cabinet chaired by the Prime Minister Shri Narendra Modi, has given its approval to a number of amendments in the FDI Policy. These are intended to liberalise and simplify the FDI policy so as to provide ease of doing business in the country. In turn, it will lead to larger FDI inflows contributing to growth of investment, income and employment. Foreign Direct Investment (FDI) is a major driver of economic growth and a source of non-debt finance for the economic development of the country. Gov...

FDI in Defence As per current Foreign Direct Investment (FDI) policy in defence sector notified by Department of Industrial Policy & Promotion (DIPP), Ministry of Commerce & Industry vide Press Note No.5 (2016 Series), FDI upto 49% is allowed under automatic route and beyond 49% through Government route wherever it is likely to result in access to modern technology or for other reasons to be recorded.  Further, FDI in defence is subject to industrial licence under Industries (Development & Regulation) Act, 1951 and manufacturing of Small Arms and Ammunition under the Arms Act, 1959. In so far as joint venture in the defence sector with more than 74 per cent FDI is concerned, no such proposal has been approved by the Government. This information was given by Raksha Rajya Mantri Dr. Subhash Bhamre in a written reply to Shri AP Jithender Reddy in Lok Sabha today. PIB