Page 2 - Fdi

Govt notifies 100% FDI in insurance sector under automatic route rules

The move to allow 100 per cent FDI in the insurance sector is expected to boost foreign interest in the sector

DEA notifies Fema FDI easing for firms with up to 10% Chinese stake

The Finance Ministry has notified a decision to allow overseas companies with Chinese shareholding of up to 10 per cent to invest in India under the automatic route under FEMA, according to a notification. In March, the Union Cabinet approved amendments in the press note (PN) 3 of 2020 of the DPIIT. As per the amendments, foreign companies having a Chinese/Hong Kong shareholding of up to 10 per cent will be eligible to invest in India in sectors where FDI is permitted under the automatic route subject to sectoral conditions. However, these relaxed FDI rules will not apply to entities registered in China or Hong Kong or other countries sharing land borders with India. Earlier, foreign firms with shareholders from these land border nations owning even a single share had to seek mandatory approval to invest in India in any sector. Now, these restrictions will apply only to beneficial owners. After the Cabinet approval, the Department for Promotion of Industry and Internal Trade (DPI

Finance Ministry notifies 100% FDI in insurance sector, amends Fema rules

The Finance Ministry on Saturday notified 100 per cent foreign direct investment (FDI) in the insurance sector under the automatic route. While 100 per cent foreign investment will be allowed in insurance companies and intermediaries, including brokers, under the automatic route, the cap is 20 per cent for Life Insurance Corporation (LIC), said the Foreign Exchange Management (Non-debt Instruments) (Second Amendment) Rules, 2026. The Parliament had passed the Sabka Bima Sabki Raksha (amendment of insurance laws) Bill, 2025, in December, 2025, paving the way for hiking the FDI cap in the insurance sector to 100 per cent under the automatic route, from 74 per cent earlier. Subsequently, after the President's assent, the Bill became law. Thereafter in February, 2026, the Department for Promotion of Industry and Internal Trade (DPIIT) under the Commerce and Industry Ministry had notified 100 per cent FDI in the insurance sector.

FDI inflows set to top $90 billion in FY26, says DPIIT secretary

India's FDI inflows are set to cross $90 billion in FY26, driven by reforms, FTAs, and rising global investor confidence across key sectors

India to soon notify eased FDI norms for firms with 10% China stake: Report

The decision to ease foreign direct investment norms for overseas companies with up to 10 per cent stake in Chinese companies will be notified soon under the FEMA law, a senior government official said on Thursday. After that, the changes will come into effect. In March, the Union Cabinet approved amendments in the press note (PN) 3 of 2020 under which foreign companies having a Chinese shareholding of up to 10 per cent will be eligible to invest in India under the automatic route across sectors. However, the relaxed FDI rules will not apply to entities registered in China/Hong Kong or other countries sharing land borders with India. The government has also decided that FDI proposals in specified sectors/activities of manufacturing in capital goods, electronic capital goods, electronic components, polysilicon and ingot-wafer or any other sector/activity added by the committee of secretaries headed by the Cabinet Secretary will be processed within 60 days. Though the Department for

FDI in India may cross $90 billion in FY26 on strong inflows: DPIIT Secy

The total foreign direct investment (FDI) in India has crossed USD 88 billion during April-February FY26, and it is likely to reach USD 90 billion in the last fiscal, a top government official said on Thursday. DPIIT Secretary Amardeep Singh Bhatia said that the government has taken a series of measures to attract FDI. He said that during April-February 2025-26, inflows have crossed USD 88 billion and "hopefully crossing USD 90 billion" in the full fiscal 2025-26. Reform measures, free trade agreements and fast-growing economic growth are helping the country to attract healthy investments, he said.

Datanomics: India-New Zealand FTA to boost trade, mobility, investment

India and New Zealand have signed a free trade agreement to boost trade, investment, and mobility. Though current trade between the two remains limited, the pact is expected to support India's exports

India mirrors China's growth potential of 25 years ago: Hans De Cuyper

Ageas CEO flags high valuations in India's insurance sector but sees China-like growth potential, aims to push JV into top 10 amid rising foreign interest

Net FDI turns positive in Feb after six consecutive months of decline

Net FDI stood at $4.6 billion in February, compared with a negative $703 million in February 2025. In January 2026, net FDI was negative $1.4 billion

Short-term fluctuations, including FDI outflows closely monitored: RBI Guv

Short-term fluctuations, including net FDI outflows and exchange rate movements, are cyclical in nature and are being closely monitored, RBI Governor Sanjay Malhotra said. He was speaking at a round-table hosted by Consulate General of India in New York on Monday. A press release was issued the next day. Malhotra highlighted the ongoing reforms to simplify regulatory frameworks, enhance ease of doing business, expand market access for foreign investors, and further integrate onshore and offshore markets. The round-table was attended by over 100 representatives from financial institutions, investment firms and policy circles, including participants from banks, asset management firms, family offices, capital management firms, institutional investors, wealth managers, and other industry professionals. During the session, RBI Chief General Manager Dimple Bhandia gave a presentation, highlighting the country's strong macroeconomic fundamentals, resilient financial sector, and consistent

FDI firms' net sales growth slows to 8.7% in FY25 from 9.4%: RBI data

Net sales growth of the select FDI companies moderated to 8.7 per cent in 2024-25 from 9.4 per cent in the previous year, according to the RBI data on finances of foreign direct investment firms. The central bank on Wednesday released the data relating to the financial performance of non-government non-financial (NGNF) foreign direct investment (FDI) companies in India during 2024-25 based on audited annual accounts of 3,100 companies, which reported in the Indian Accounting Standards (Ind-AS) format. "Industry wise, net sales growth of services sector marginally increased to 12.7 per cent from 12.2 per cent in the previous year, while for manufacturing sector it decelerated to 5.1 per cent from 6.8 per cent in the previous year," the RBI said. Companies with direct investment from Singapore, the US and Mauritius accounted for more than half of the sample companies. Japan, the Netherlands and the UK were other major direct investment sources in India. Majority of the sample compani

Starlink's India entry delayed as FDI clearance faces security concerns

Starlink's FDI proposal on hold as govt flags security risks; approval may depend on clarity from Starlink and its ability to address concerns over potential misuse of satellite services

Sloan bets on Essel Bath Fittings to expand India manufacturing footprint

Sloan has invested in Essel Bath Fittings to strengthen its India presence, expand manufacturing and tap rising demand for water-efficient plumbing solutions

Money in, money out: Negative net inflows pull down India's FDI status

Rising repatriation is outpacing overseas spending.

Share of active foreign firms drops to 62% from 70% in FY19, shows data

Many have scaled down operations in recent years

Net FDI remains negative for fifth straight month in January: RBI data

Net FDI stood at negative $1.39 billion in January 2026 compared to negative $492 million in December 2025

China to recoup 2% share in Indian FDI after Press Note 3 changes: Report

The amendments to the 'Press Note 3' by the government will help China increase its share in the overall foreign direct investments attracted by India to 2 per cent levels, a report said on Monday. "The change in the rule is expected to increase the share of Chinese funds in overall FDI to more than 2 per cent, the level it stood at before the Press Note 3," the report by Crisil Intelligence said. Between calendar years 2014 and 2019, cumulative FDI inflows from China, including Hong Kong, accounted for about 2 per cent of total FDI, which contracted to 0.27 per cent after the introduction of new rules in Press Note 3. Easing of Press Note 3 norms is expected to unlock a pipeline of pending proposals, potentially driving a near-term uptick in inflows from China, including Hong Kong, it said. The entity expects the government move to accelerate FDI inflows into India, strengthening its domestic capabilities and reducing reliance on imports. The government first introduced the rules

India's outbound FDI falls to $2.76 billion in February: RBI data

Overseas investment declines year-on-year and sequentially, with moderation in equity commitments and mixed trends in loans and guarantees

DPIIT amends 'Press Note 3' to ease FDI norms for border countries

The government has amended Press Note 3 under the FDI policy, allowing investors from countries sharing land borders with India to hold up to 10 per cent non controlling stakes via the automatic route

Rethinking FDI: Investment policy must evolve with changing realities

The revised guidelines should help improve the ease of doing business and attract FDI