India FDI

Automatic-route investment applies only to global entities with up to 10% Chinese ownership; firms registered in China must still seek government approval

India is working to create an indigenous Virtual Asset Lab for detection of unregistered, high-risk offshore virtual asset service providers (oVASPs) by using analytics and web surveillance tools. A Financial Action Task Force (FATF) report, titled 'Understanding and mitigating the risks of offshore virtual asset service providers', gave case studies of India and other countries on how oVASPS are being used for money laundering and supervision being done by the nations. According to the FATF report, some jurisdictions have established structured cooperation with internet service providers, app-store operators and online platforms to disrupt unauthorised oVASPs activity. Giving a case study from India, the FATF report said that FIU-India, along with the Home Ministry, has directed intermediaries (social media platforms, web hosts, internet service providers) to take down website content. "So far, 85 URLs pertaining to unregistered non-compliant oVASPs have been taken down," it ...

In February 2026, India began easing its restrictions on buying Chinese equipment

The government on Tuesday eased norms for foreign direct investment from all countries, including China, that share land borders with India, sources said. They said press note 3 of 2020 has been amended in this regard. The decision was taken in a meeting of the Union Cabinet chaired by Prime Minister Narendra Modi. Under this press note, foreign companies having shareholders from these countries required mandatory government approval for investments in India in any sector. Countries that share land borders with India are China, Bangladesh, Pakistan, Bhutan, Nepal, Myanmar, and Afghanistan. China stands at the 23rd position with only 0.32 per cent share (USD 2.51 billion) in the total FDI equity inflow reported in India from April 2000 to December 2025. Ties between the two countries nosedived significantly following the fierce clash in Galwan Valley in June 2020 that marked the most serious military conflict between the two sides in decades. Following these tensions, India banne

The FDI inflows to India in 2025 surged by 73 per cent to USD 47 billion, mainly due to large investments in services and manufacturing, supported by policies aimed at integrating the country into global supply chains, the UN said. The Global Investment Trends Monitor, released by the United Nations Conference on Trade and Development (UNCTAD), stated on Thursday that the Foreign Direct Investment (FDI) inflows to China declined for the third consecutive year, falling by 8 per cent to an estimated USD 107.5 billion. "FDI inflows to India surged by 73 per cent to USD 47 billion, mainly due to large investments in services including finance, IT, and R&D as well as manufacturing, supported by policies aimed at integrating India into global supply chains," UNCTAD said. It added that global foreign direct investment reached an estimated USD 1.6 trillion in 2025, a 14 per cent increase. However, a significant part of the increase was due to higher flows through several major global ...

From Vodafone Idea's AGR moratorium and concerns over telecom duopoly to urban governance failures, global trade disruptions and India's openness to capital, here is today's opinion newsletter

Revised rules remove the requirement for majority Indian directors in insurers with foreign investment, but mandate that one of the top leadership roles be held by an Indian resident

The FDI limit in the insurance sector was raised from 49 per cent to 74 per cent in 2021

The panel, in an internal report finalised in October, had suggested that the Department for Promotion of Industry and Internal Trade (DPIIT) weigh the options and take a final call by December 31

The Commerce and Industry Ministry has floated a note seeking views from various central government departments on a proposal to allow foreign direct investment (FDI) in the inventory-based model of e-commerce solely for export purposes, an official said. The proposal aims to boost India's exports without impacting the businesses of small retailers. At present, the country's FDI policy does not permit overseas investments in the inventory-based model of e-commerce. It is 100 per cent allowed through the automatic route in firms that are operating through a marketplace model only, like Amazon and Flipkart. The proposal is to permit e-commerce entities in the inventory-based model of e-commerce, exclusively for the export of goods and products manufactured or produced in India, in compliance with the existing FDI policy, the official said. According to the FDI policy, the inventory-based model of e-commerce means an e-commerce activity where the inventory of goods and services is own

While total outward FDI dipped year-on-year, equity commitments tripled to $2.57 billion; Prime Focus, Intas, and Zydus among major overseas investors

Today's opinion page takes a closer look at the RDI scheme, India's R&D lapses, the current account deficit, and whether the RBI's changes to project finance are a good idea in the long run

India moved up to 15th in global FDI rankings as flows stayed at $28 billion in 2023 despite a global drop and led Asia in capital expenditures for new projects

RoCE trended higher in FY25 amid a drop in net FDI

The Congress on Friday accused the Modi government of destroying domestic investment and also causing a "near annihilation" of Foreign Domestic Investment through its practice of "another type of FDI -- Fear, Deceit, and Intimidation". In a post on X, AICC General Secretary (Communications) Jairam Ramesh said the net FDI in India during April to January 2024-25 was only USD 1.4 billion, against USD 19 billion from April-January 2012-13, when the Congress-led UPA was in power. "The Modi Government's destruction of Domestic Investment (DI) has been accompanied by a near annihilation of FDI (Foreign Domestic Investment) through its practice of another type of FDI (Fear, Deceit, and Intimidation)," Ramesh said in his post. "In Apr-Jan 2012-13, net FDI in India was USD 19 billion. In Apr-Jan 2024-25, net FDI in India was under USD 1.4 billion," he said. He claimed the Modi government achieved this distinction even before President Trump took over in January 2025. "During Biden's ...

Foreign direct investment in India dipped by 5.6 per cent year-on-year to USD 10.9 billion in October-December quarter of this fiscal due to global economic uncertainties, according to the government data. FDI inflows during October-December 2023-24 stood at USD 11.55 billion. According to the Department for Promotion of Industry and Internal Trade (DPIIT) data, in the July-September quarter of the current fiscal, the inflows were up by about 43 per cent year-on-year to USD 13.6 billion and had increased 47.8 per cent annually to USD 16.17 billion in the preceding April-June quarter. Cumulatively, during the April-December 2024-25, the inflows registered a growth of 27 per cent to USD 40.67 billion as against USD 32 billion in the same period of 2023-24. Total FDI, which includes equity inflows, reinvested earnings and other capital, grew by 21.3 per cent to USD 62.48 billion during the first nine months of this fiscal from USD 51.5 billion in April-December 2023-24. During the ..

Gross inward FDI during April-November 2024 increased to $55.6 billion from $47.2 billion a year ago, according to the Reserve Bank of India's data (January 2025 bulletin)

India's cumulative FDI inflows have crossed $1 trillion since 2000, with Mauritius leading the pack, followed by Singapore, highlighting the country's growing appeal as a global investment hub

Various pension funds and other institutional investors and fund managers across the US attended the Roundtable at the New York Stock Exchange

The World Bank's International Centre for Settlement of Investment Disputes can assist India in achieving its globalisation goals