Write a note on Foreign investment policy?

1.	Write a note on Foreign investment policy?
Answer» 1. Foreign Investment Policy measure has enhanced the Industrial competition and improved business environment in the country. 2. Foreign Investment including FDI and FPI were allowed. 3. The government announced a specified list of high-technology and highinvestment priority industries. 4. Automatic permission was granted for Foreign Direct Investment [FDI] upto 51 % foreign equity. 5. The limit was raised to 74% and subsequently to 100% for many of these industries. 6. Foreign Investment Promotion Board [FIPB] has been set up to negotiate with international firms and approve foreign direct investment.

Answer»

1. Foreign Investment Policy measure has enhanced the Industrial competition and improved business environment in the country.

2. Foreign Investment including FDI and FPI were allowed.

3. The government announced a specified list of high-technology and highinvestment priority industries.

4. Automatic permission was granted for Foreign Direct Investment [FDI] upto 51 % foreign equity.

5. The limit was raised to 74% and subsequently to 100% for many of these industries.

6. Foreign Investment Promotion Board [FIPB] has been set up to negotiate with international firms and approve foreign direct investment.

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