The new edition includes the April 2020 circular that said foreign investment from countries sharing a land border with India requires prior approval of the Indian government
The Commerce and Industry Ministry on Wednesday released the next edition of its consolidated foreign direct investment (FDI) policy document, incorporating all the changes made over the past year. According to the Department for Promotion of Industry and Internal Trade (DPIIT), the new circular has come into effect from October 15. The consolidated policy is a compilation of various decisions taken by the government with regard to FDI in different sectors. DPIIT, which deals with FDI related matters, compiles all policies related to foreign investment regime into a single document to make it simple and easy for investors to understand. Investors would otherwise have to go through various press notes issued by the department, and the RBI regulations to understand the policy. The whole exercise is aimed at providing an investor-friendly climate to foreign players and, in turn, attract more FDI to boost economic growth and create jobs. The government has liberalised FDI policy in .
Despite the largesse, however, it remains to be seen whether or Indian companies can shrug off the old habit of jugaad, tweaks and twists
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The Union Cabinet also approved 100% FDI under automatic route in coal mining and associated infrastructure
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The officials, however, remained tight-lipped about the deliberations held in the meeting
Easier policy for construction on cards, as FDI may be allowed even for undeveloped plots