Government has put in place an investor-friendly policy on FDI, under which FDI, up to 100%, is permitted, under the automatic route, in most sectors/activities. Significant changes have been made in the FDI policy regime in the recent times, to ensure that India remains an attractive investment destination.
In a recent review of the policy, Government has amended the sectoral caps and/or entry routes in some sectors viz. petroleum & natural gas; commodity exchanges; power exchanges; stock exchanges; depositories and clearing corporations; asset reconstruction companies; credit information companies, tea sector including tea plantations; single brand product retail trading; test marketing; telecom services; courier services and defence.
Foreign Direct Investment (FDI) policy is reviewed on an ongoing basis, with a view to making it more investor friendly.